Free Trial

Weaker Demand Fears Take Hold As Yields and Dollar Surge

  • Crude oil sees a largely one-way slide with a return of dollar strength and higher Tsy yields seen weighing on activity, driving further by a surprise increase in US inflation expectations.
  • WTI is -3.9% at $85.63 having briefly traded through support at $85.56 (Oct 13 low) to open $84.94 (50% retrace of Sep 26 – Oct 10 rally).
  • Brent is -3.0% at $91.72, coming close to support at $91.08 (Oct 13 low) and then $90.59 (50% of Sep 26-Oct 10 rally).
  • Gold is -1.45% at $1642.30 to continue a poor week with the cranking higher in yields after various inflation surprises. It has cleared the Oct 13 low of $1642.5 on the snap move lower after US CPI, opening the bear trigger at $1615.0 (Sep 28 low).
  • Weekly moves; WTI -7.5%, Brent -6.3%, Gold -3.1%, US Nat Gas -7.6%, TTF Nat Gas -9.1%

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.