(04 November 2020)DAILY MARKET BRIEF 2:Oil Prices Recover

(04 November 2020)DAILY MARKET BRIEF 2:Oil Prices Recover

4 November 2020, 12:38
Jiming Huang
0
79

n the commodity market, oil prices continue to recover, surging over 2% in early trading on Wednesday, after adding about 5% in the previous two sessions. Prices maintain their bullish stance after the American Petroleum Institute said that US crude inventories dropped by 8.01 million barrels for the week ending October 30, while analysts expected a 600,000-barrel build. Meanwhile, the OPEC+ cartel led by Saudi Arabia and Russia might extend its production cuts into 2021, as the COVID resurgence in Europe and the US is putting pressure on crude demand.

Gold is down as the votes are counted, with the metal being under pressure amid a stronger US dollar. Gold futures have declined by 0.59% to $1,899.

In FX, the US dollar is bullish again after Biden’s lead has narrowed, and Trump seems to have won Florida. The USD Index is up 0.40% and close to 94.00. EUR/USD is down 0.49% to 1.1654.

The British pound has also lost almost half a percent versus the greenback and is slightly down against the euro. The UK and the EU still cannot bridge gaps amid extended talks. 

By Strategy Desk


Share it with friends: