Commodities Update 22

Commodities Update 22

24 November 2015

Important legal information


On Monday morning oil prices decreased sharply, but recovered in the afternoon. Prices for WTI increased by 0.36 percent, while prices for Brent increased by 0.72 percent. The trigger for this rapid change in direction has been a press release. The Saudi Arabic government would be planning to take actions to stabilise the oil market, is stated in the press release.

According to analysts of Commerzbank the pressure on OPEC increases to stabilise prices, due to the lasting weakness of oil prices. The OPEC-members will meet in the coming week. Venezuela has pressured OPEC-members before, to prevent a continuing decrease of oil prices. The Venezuelan minister for oil predicts a decline to about 25 USD if no actions are taken.

Gold was close to its 6-year-low on Monday. Gold gets more unattractive for foreign investors, due to the increasing strength of the US-Dollar. A positive development in the US-labour market and the resulting light inflation might hint to a Fed-hike on the 16th of December. Goldman Sachs expects an increase of interest rates by 100 basepoints in 2016. The low level of gold prices might indicate that an interest rate increase in December is taken into account.


Prices for soybeans decreased to 845 US-Cents per bushel after the presidential election in Argentina. The election of Mauricio Macri, who announced to open up the economy, led to a decrease of exports in expectation of more beneficial conditions in the future. In the first half of November exports lost 78 percent compared to last year. In the previous month exports of soy beans decreased by 18 percent compared to last year.

 

 

01/03/2021 18:18:01