Gold And Silver: Daily Market Outlook. Feb 20th 2012
Mon, 20 Feb 2012 06:04:00 +0400
The People’s Bank of China lowered the reserve requirements for Chinese banks, thus expanding their lending reserves by $57-64B. China’s economy is expected to grow by 8.2% in Q1 2012 against 8.9% in Q4 2011. China is trying to make some oil exporters (Russia, Middle East countries) agree to sell their oil for the Chinese Yuan.
Japan and China seem to be ready to help the eurozone resolve its debt crisis thought the IMF. In the meantime, Japan saw a record high balance-of-trade deficit in January. The export declined by 9.3% (y/y) while the import of energy carriers increased sharply. S&P confirmed Japan’s current sovereign rating with a negative forecast.
Today the eurozone minfins are expected to decide whether to provide Greece with another substantial loan.
In the meantime, a team of 5 UN experts arrived in Teheran yesterday to resume the nuclear talks. The visit is expected to last for 2 days.
Last week the inflow of new capital in the market of gold and silver reached $102M.
According to the Department of Commodity Trading of Masterforex-V Academy, today gold is ready to resume its rally. The closest target 1750. However, during the day, the price may test 1734, 1729, 1724.
As for silver, the closest level of support is 33.5. The closest levels of resistance are 34.0 and 34.25. If an H1 bar closes below 33.50, the price may test 33.40 and maybe 33.2.
Crude oil keeps on going down in value. At this point, both WTI and Brent prices have been going down for 3 months in a row. As stated in the previous forecast, crude oil reached $50/b in July, which was followed by a market plunge all the way down to $41/b.
The global market of crude oil keeps on crashing as the U.S. Dollar is going up in value and the global oversupply of crude oil is still growing amid lower demand for it. At the same time, the U.S. crude oil inventories are getting more massive, which is an other bearish factor exerting downward pressure on oil prices.
Gold and Oil Prices Plunge As Chinese Yuan Sees Devaluation
Sensational data coming from China have been affecting financial market so far. Amid the devaluation of the Chinese Yuan, commodities are going down in value as well, including gold and crude oil, Market Leader reports.
In late July – early August, crude oil resumed its downtrend again. In particular, the prices crashed all the way down to January’s lows. The price of a barrel of Brent oil is now fluctuating around $49-$50, which is twice as cheap as 12 months ago.
According to the analysts of KGI Securities, which have been sharing relatively reliable insider information regarding Apple products, now claim that the production of Apple iPhone 6s and Apple iPhone 6s Plus is going to be delayed, the Hi-Tech Department of Market Leader reports.
The never-ending downtrend in the market of crude oil is still underway, Market Leader reports. As the oversupply is going bigger and bigger and the demand for crude oil is still at its lows, crude oil is going down in value. In particular, WTI oil dropped down to $43,27 per barrel at the end of Monday’s trading session.
OPEC Planning Another Emergency Summit As Oil Prices Crash
OPEC doesn’t deny the possibility of holding another emergency summit in the near future. At this point, OPEC members are reported to be discussing the issue. According to Masterforex-V Academy the major reason why OPEC is planning the summit is the fact that oil prices resumed its downtrend while experiencing downward pressure coming from the increasing oversupply of crude oil in the global market.
The never-ending bearish trend in the global market of crude oil is still underway. Yesterday, at the end of the trading day, the price of WTI crude oil declined below $45 per barrel, Masterforex-V Academy reports.
In particular, at the ned of the American trading session, WTI (West Texas Intermediate) saw a 1.7% drop and broke through the $45/b support on its way down to new local lows. The trading day closed at $44,81/b. Masterforex-V Academy reports that this is the lowest price since March 19th, 2015.
Despite the fact that Chinese authorities have been doing their best to save the local stock market from seen an even deeper crash, there efforts have been inefficient and uncoordinated and have failed so far.
Yesterday, on August 4th, the Chinese government held an emergency summit together with the leading financial experts in China. The Prime Minister urged the expert to work out an efficient solution to cap the crash until it is too late. At the same time he insists on tighter cooperation between the People’s Bank of China, the Chinese Ministry of Finance as well as stock market regulators and major banks.
There are several weeks until Apple is going to introduce a new series of mobile devices – iPhone 6s and 6s Plus. That is why more and more web sources keep on posting rumors and sneak pics of the would-be devices.