Commodities Daily - March 5, 2019

> Oil resists Wall Street selloff amid optimism about US-China trade deal and OPEC+ cut extension. China's having cut its GDP target (although anticipated) has revived market concerns that Chinese growth is slowing, which is weighing on both oil prices and stock markets this morning. However, given the announced billions of dollars tax and fees cuts, increase infrastructure investment, and boost in lending to small firms, it remains to be whether Chinese growth will actually slow to within the new target range. Today, investors will eye European and US PMIs and weekly API oil inventory data overnight.> Gold holding at around $1,280/oz amid a stable dollar. Today, the ISM non-manufacturing index is due in the US, while Boston and Richmond Fed presidents Eric Rosengren and Tom Barkin are due to speak. We continue to see gold supported at $1,280/oz.> Focus in base metals market on annual Chinese congress. Base metals prices began to rise again this morning following the cautious opening remarks from Chinese Premier Li Keqiang at China's annual National People's Congress. However, we expect the price rebound to prove short-lived, as Li did not announce any initiatives capable of sustaining the rally.