02.02.2016 - Falling of oil has resumed and is likely to continue

The price of gold continues to show a positive trend against the background of the increased interest in gold from investors amid instability on the stock markets, sales growth in China, ahead of the celebration of the New Year according to the lunar calendar, a celebration of which will start on February 8. At the same time it is worth noting the negative impact of weak statistics on manufacturing PMI in China and the US, which fell respectively to 49.4 and 48.2. Investors are waiting for the publication of a report on the US labor market for January on Friday, which will increase volatility. Despite the possible strengthening of gold in the near future we expect a decrease in its prices before the end of the year due to the expected rise in interest rates of the Fed.

The price of futures on the benchmark US Light Sweet crude oil showed a strong decline on weak statistics on the manufacturing PMI in China and the US, which fell respectively to 49.4 and 48.2. At the same time China's GDP growth in 2015 is estimated at 6.9%, which is the lowest value in 25 years. On the other hand, analysts predict the growth of oil imports by 7% this year due to the increasing demand of local oil refineries due to low prices and the growth of China's strategic reserves. Another important factor is the statement of the Gulf countries, which said about meaninglessness of OPEC extraordinary meeting of the cartel before the increase in oil supplies from Iran by the previously declared 1 million barrels a day. In this regard, we expect a continuation of the negative dynamics of oil prices in the near future.

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