The price of gold corrected upwards against the background of increased demand for defensive assets due to the fall on the Chinese stock market, which despite of today's growth continues to be risky for investors. In addition, the minutes of the previous meeting of the Federal Reserve noted the negative impact of the Greek crisis and the fall on the stock markets of China, which has weakened investors’ confidence in the Fed raising interest rates in September and was positively displayed on the price of gold. We keep medium-term positive outlook for gold and note a decrease of the potential for further decline.
The price of oil Light Sweet crude oil corrected upwards on the background of improved sentiment in China, which is the second largest oil consumer after the United States. It should be noted that the weakening of the US dollar after yesterday's publication also supported the rise in oil prices. Statistics on oil and petroleum products inventories in the US negatively affected the price of futures. Thus, oil inventories rose by 384,000 barrels against the forecast of a decline of 1 million barrels, while gasoline inventories rose by 1.2 million barrels against an expected no change. The focus of investors is on the negotiations on Iran's nuclear program that can be completed tomorrow and will lead to the lifting of sanctions against Iran, which will increase the imbalance of demand and supply of oil in the market and lead to a drop in prices of oil. Our medium-term outlook remains negative and we recommend holding short positions.