05.09.2014 - Strengthening of the dollar once again negatively affected commodities

The price of gold continued to decline against the strengthening of the dollar. Message about lowering interest rates by the ECB has increased demand for gold from European investors. In this regard, most of the decline has been offset. Today, we expect strong growth in volatility after the release of data on the labor market in the United States (12:30 GMT). Demand for the metal from investment funds and consumers in China remains weak. We expect increased interest in gold in case of correction on stock markets. Our medium-term outlook remains positive, despite the possibility of further decline in the near future.

The price of American Light Sweet crude oil after an upward correction yesterday resumed decline amid the dollar strengthening, stable data on the labor market in the United States, which came a little worse than expected. Oil production in Libya continues to grow and has exceeded 720 thousand barrels per day, which adversely affects the balance of supply and demand in the region. Oil reserves in the United States fell last week by 0.9 million barrels, in line with expectations. The course of trading today will influence the Eurozone GDP (09:00 GMT) and data on employment in the United States (12:30 GMT). We maintain a medium-term negative outlook for oil.

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