12.01.2015 - OPEC does not think to change its position on quotas for oil production

The price of gold continued to rise and reached the target level of 1230 dollars per troy ounce after the publication of contradictory statistics on the US labor market. So hourly wages fell by 5 cents in December, and grew by only 1.7% per year. At the same time, the unemployment rate fell to 5.6%, which is 0.2% better than the previous figure, and the number of new jobs was 252 thousand against an expected growth by 241 thousand. According to our estimates the negative impact of weak wage growth will have a short-term effect. Growth in safe assets amid rising expectations of stock markets fall due to the slowdown in the global economy and the drop in oil prices. We maintain a positive medium-term outlook for gold.

The price of Light Sweet crude oil continues to decline due to the ongoing decline amid oversupply of oil on the market. OPEC countries continue to insist on maintaining the current oil production quotas. An excess of oil on the market appeared on the back of record for more than 30 years oil production volumes in the United States. Falling oil prices will continue until the beginning of decline in production from fields with high production costs. It is also worth noting weak oil demand in Europe and China. We maintain our medium-term negative outlook on oil and recommend holding short positions with a target level of 40 dollars per barrel.

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