Commodities Daily - March 14, 2019

> Oil up on bullish EIA inventory update but faces technical resistance; monthly OPEC report eyed. Today, market players will eye OPEC's monthly market report (likely 14:00 Moscow time), which in our view is likely to be on the bullish side, much like the EIA's latest monthly report, which was released on Tuesday. Key for us today is whether Brent will manage to secure above strong technical resistance at $67.85/bbl (the 50% Fibonacci retracement level from Brent's October correction). We think that a break above this level is in the cards, though it may prove challenging. The next resistance level is $69.59/bbl, which is Brent's 200-day moving average.> Gold remains at around $1,300/oz amid ongoing Brexit debate. Gold prices surged to $1,311/oz yesterday ahead of the vote in the UK Parliament about whether to proceed without a deal. The vote resulted in a decision not to leave the EU without a deal. After the vote, gold sold off and is trading at $1,302-1,305/oz this morning. Today, Parliament will vote for a third time this week - this time about pushing back carrying out Article 50. We expect a delay to Brexit to be approved, which should keep gold trading in the $1,302-1,305/oz. In the unlikely event that a delay is not approved, volatility would likely ensue, which could mean gold testing $1,325/oz.> Base metals open lower following Chinese economic data. Nickel has dropped the most this morning (-1%), followed by zinc (-0.6%) and lead (-0.7%). Uncertainty over the China-US talks continues to have a moderately negative impact on the markets.> Today, we are introducing a new section to our daily called "Commodities Trade Ideas."