20.01.2016 - Oil continues to fall after the lifting of sanctions against Iran
The price of gold today shows the growth on the background of lower oil prices, which leads to a decrease on the stock markets of the world. In this situation, the demand for defensive assets like gold is rising and in the near future will likely continue to be strengthened. Today in the US will be published important data on consumer price index (13:30 GMT). Easing inflation will lead to expectations of a later increase in interest rates this year, which will be positively displayed on the price of gold. We expect saving of the negative trend of gold this year, but in the current instability, we can see a correction.
The price of Light Sweet crude oil futures continued to update the multi-year highs against the background of increasing imbalances of supply and demand of oil in the world after were lifted sanctions against Iran. As a result, it is expected that over the next three months, oil supplies from Iran will increase by 1 million barrels a day. At the same time, China's economic slowdown and its shift to the service sector, which has reached nearly half of the country's GDP has a negative effect on market expectations about oil prices. Today, a rise in volatility is expected after the release of statistics on oil reserves in the US (15:30 GMT). We expect a further decline of quotations of oil in the medium term, and in the near future, but do not rule out a correction after a strong decline.