20.05.2014 - Oil exports from Libya has fallen once again
The price of gold continues to consolidate near the level of $ 1,300 per troy ounce. It is worth mentioning that the amplitude of price movements is reduced, indicating a strong movement in the future. To the rise in prices contributes geopolitical tensions in connection with the events in Ukraine, where continues the anti-terrorist operation, and possibility of launching additional measures against low inflation in the Eurozone. On the other hand the growth of prices is constrained by weak demand on Asian markets and among investors. We reserve the medium and long term positive outlook for gold.
The price of Light sweet crude oil continued growth amid the aggravation of the political situation in Libya, which has led to a decrease in supplies to 200 thousand barrels per day compared to 300 thousand last week and 1.4 million last year. In addition, negotiations with Iran on its nuclear program did not bring significant results. High prices are supported by the expectation of presidential elections in Ukraine, which will be held May 25 and at which is expected the worsening of the situation. We maintain a long-term negative outlook for the oil and expect price drop after the stabilization of the situation in Ukraine.