Oil rises due to inventory reductions and gold and the dollar rise, supported by anticipation of the US elections

Oil futures prices rose after data on an unexpected decline in US crude inventories For its part, gold continued to rise, driven by expectations that central banks will ease. Interestat the time he got ee Dollar Additional support from the probability of winning Donald Trump In the upcoming US presidential elections.

Oil

Oil prices rose in early Asian trade on Thursday, paring sharp losses over the past two sessions, after oil sector data showed an unexpected decline in crude inventories. the US last week.

Future raw rose Brent 13 cents, or 0.18%, to $74.35 per barrel at press time.

Both crude oil prices fell at settlement yesterday, Wednesday, to their lowest levels since October 2 for the second day in a row.

Both crude oil standards fell by levels between 6 and 7% from the beginning of the week so far after the Organization of the Petroleum Exporting Countries (OPEC) reducedOPEC) and IEA demand projections for 2024 and 2025.

Prices also fell on the back of a decline in risk premiums and a decline in fears that an Israeli attack could lead to… Iran to a disruption in oil supplies, despite ongoing uncertainty about the conflict in the Middle East.

Investors are still waiting for more information from China regarding its comprehensive plans announced on October 12 to revive its sluggish economy.

In the United States, market sources reported figures from the American Petroleum Institute yesterday that crude oil and fuel stocks fell last week, despite expectations for an increase in crude stocks.

The sources, who asked to remain anonymous, said crude inventories fell by 1.58 million barrels in the week ended October 11. She said gasoline stocks fell 5.93 million barrels, while distillate stocks fell 2.67 million barrels.

Investors embrace gold as safe haven to hedge against US election uncertainty (Shutterstock)

gold

Gold prices rose today to near record highs on the back of factors including uncertainty over the outcome of the US elections and expectations that major central banks will cut interest rates at a time when investors are waiting for a series of US data to get more signals.

Gold in spot transactions rose 0.31% to $2,682.10 an ounce at the time of writing this report, after prices reached $2,685.16 yesterday at the highest level of the session, a level slightly below the price the highest recorded by gold on September 26, which was $2,685.42.

US gold futures rose 0.22% to $2,697.20.

Kelvin Wong, chief market analyst for the Asia-Pacific region at OANDA, said: “Investors are accepting gold as a safe haven to hedge against uncertainty surrounding the US elections, and a Trump presidential victory would provide support your gold because that could lead to more trade. tightening and expanding the budget deficit.”

Data on retail sales and industrial production in the United States for September are scheduled to be released, as well as weekly data on unemployment claims. Unemploymentlater in the day.

It tends to be reduced European Central Bank Interest rates are back under control, he says Inflation In the area euro It gets better.

Low interest rates and geopolitical tensions support gold as a safe haven as it does not generate yield.

As for other precious metals, silver fell in spot transactions by 0.23% to $31.60 an ounce, platinum rose 0.17% at $1,000.05, and palladium rose 0.12% to $1,027.78.

Currency in spot transactions fell by 0.23% (Reuters)

Dollar

In currencies, the Australian dollar rose today after earnings numbers beat expectations for a sixth straight month, while the US dollar stood near an 11-week high as it gain additional support from the possibility that Donald Trump would win the upcoming elections.

The most prominent event in Asia today was the conference held in China which focused on measures to support the country’s fake real estate sector.

The yuan settled on the mainland at 7.1179 per dollar, and in the latest trade abroad it reached 7.123 per dollar.

The Australian dollar rose 0.20% to $0.6679 after Thursday’s data showed net jobs in… Australia Jobs rose by 64,100 in September compared to August, well above market expectations for an increase of 25,000 jobs, while the unemployment rate remained stable.

In the broader market, the dollar registered a strong performance after reaching an 11-week high against a basket of currencies in the previous session.

The pound sterling was trading down 0.03% at $1.2989, but remained near the two-month low it hit yesterday, Wednesday, on weaker UK inflation data than expected.

The euro was little changed, trading at $1.0854 ahead of the European Central Bank’s monetary policy meeting later Thursday, when another interest rate cut is expected to be announced.

Not only was the dollar supported by a series of positive economic data that led traders to lower their expectations for a tipped cut Federal Reserve (US Central Bank) of interest rates, but also the possibility of the Republican candidate Donald Trump to win the elections scheduled for next month, since his policies mean reducing the possibility of a significant reduction in interest rates.

The dollar index rose in the latest trade at 103.61, after recording a peak of 103.60 in the previous session.