The price of gold fell on Friday after the publication of data on the growth of the producer price index in the United States by 0.1% in July, in line with expectations, but it turned out to be 0.3% less than the previous figure. The news of low demand for the metal from the jewelry industry and investors continue to put pressure on the gold price. In the second quarter, gold demand in China fell 2 times to 208 tons, and in India by 39% to 204 tons. The price of gold is supported by geopolitical tensions. We maintain our positive medium-term outlook for gold amid expectations of correction in the stock markets.
The price of Light Sweet crude oil rose on Friday in connection with a number of factors. On the one hand investors fixed position after a long decline, on the other hand the focus of investors is drawn to the situation in Ukraine. Also, demand for oil has increased in connection with the publication of data on the growth of industry in the United States by 0.4% in July, compared with an expected growth of 0.3%. Oil demand in Europe remains weak against the background of oversupply, and in the United States stated an increase in oil production to 8.5 million barrels per day, which is the highest level since 1987. We maintain a medium-term negative outlook for oil.