Crude oil pared losses on inventories drawdown/Safe-haven holding grounds/Pound climbed to 2-year high against euro

Dec 05,2019

Regain Capital

Overnight Reviews:

Gold: -0.16%

Silver: -1.86%

US Index: -0.13%

WTI Oil: 3.68%

NDX: 0.51%

Crude oil pared losses on inventories drawdown

The black commodity pared most of its losses from last Friday, supported by higher than expected drawdown in US inventories reported by the EIA. Furthermore, strong optimism surrounding the OPEC+ meeting where the cartels are expected further deepen their production cut prompt up the prices.

Safe-haven holding grounds

Precious gold was able to hold its grounds above its 1,475 handle, supported by weak ADP Employment data from the US. The yellow metal was initially suffering losses following reports on US-China still closing in towards a deal. Furthermore, preference towards the pound also lowered safe-haven appeal with opinion polls showing a Conservative lead.

Pound climbed to 2-year high against euro

The pound sterling was largely demanded by the market following optimism towards UK election results, with opinion polls pointing towards a Conservative win. Pound against the US dollar (GBP/USD) climbed towards its 7-month high while breaking the 1.3000 handle; Euro against the pound (EUR/GBP) fell to its 2-year low.

Main Events Today GMT +8

08:00 NZD RBNZ Gov Orr Speaks

08:30 AUD Retail Sales m/m

08:30 AUD Trade Balance

All Day OIL OPEC Meetings

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Crude oil pared losses on inventories drawdown/Safe-haven holding grounds/Pound climbed to 2-year high against euro

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