The price of gold has stabilized after the strong growth on Friday caused by weak data on the US labor market that on the one hand weakened dollar, and on the other has led to a decrease in the probability of the Fed raising interest rates in the near future. It is worth mentioning that yesterday Fed Chairwoman Janet Yellen confirmed the optimistic expectations for the US economy. As a result, we expect a gradual rise in interest rates in the case of improvement in the US labor market and rising inflation, the likelihood of which is high due to rising oil prices. Our medium-term outlook for gold remains negative, but in case of a substantial correction on the stock markets, we will see growing interest in gold from investors.
The price of Light Sweet crude oil continues to consolidate around the psychologically important level of 50 dollars per barrel. Earlier was held a meeting of OPEC, which has not led to any results which could affect the oversupply of oil on the market. Investors are waiting for tomorrow's statistics on inventories and production of oil in the USA. It should be noted that according to experts, the recent disruptions in oil supplies from Nigeria and Canada, have led to a decrease in oil demand on the market by 3 million barrels per day. These disruptions are temporary and given the growth of production in the Persian Gulf countries, and the growth of the number of active oil rigs in the US, we expect a drop in prices in the near future, with the potential of reduction by 15-20%.