Free Trial

Oil Sees Sharp Fall Whilst Gold Opens Bull Trigger

  • Crude oil sees a sharper fall today, currently down 2.5-3% as uncertainty remains over China’s zero-Covid policy after rising infections in Guangzhou and other cities, with the decline accelerating with the EIA now expecting US gasoline consumption to shrink next year in a reversal of last month’s forecast (seen falling from 8.79mbpd this year to 8.75mbpd vs prior expected increase to 8.8mbpd).
  • WTI is -3.2% at $88.86 but remains above support at $87.6 (Nov 3 low) having surged both before and after US payrolls last week, with key support at $85.30 (Oct 31 low).
  • Brent is -2.6% at $95.34 in a reversal of the trend needle pointing north. It next eyes support at $93.55 (20-day EMA) after which lies key support at $91.46 (Oct 31 low).
  • Gold meanwhile is +2.1% at $1711.7 as the USD and Tsy yields fall, clearing two resistance levels including $1714.8 (Oct 7 high) before retreating. It opens the bull trigger of $1729.5 (Oct 4 high).

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.