(30 September 2020)DAILY MARKET BRIEF 2: Gold is currently declining
In the commodity market, oil prices extended losses amid worries about the accelerated increase in COVID infections, which lead to more severe restrictions. Both WTI and Brent have lost about 1% to trade at $38.91 and $41.11, respectively. Yesterday, crude prices tumbled over 3% as the total number of coronavirus-related deaths passed the 1 million mark. Investors ignored data from the American Petroleum Institute, according to which US crude inventories unexpectedly narrowed last week.
After a bullish Tuesday, gold is currently declining on stronger US dollar. The metal has dropped by 0.62% to $1,891 per ounce.
As for the greenback, it has gained momentum as investors digest China’s upbeat data pointing to recovery and the chaotic presidential debate. The USD Index rose 0.11% and 94.032 and EUR/USD fell 0.15% to 1.1724.
The pound gave up earlier gains against both the USD and the euro, as the UK parliament passed the Internal Markets Bill, which overrides the current treaty between Britain and the EU and may lead to a no-deal Brexit.
