22.05.2014 - Oil exports from Libya has fallen once again

The price of gold continues to consolidate near the level of $ 1,300 per troy ounce. We expect a strong movement in the coming days due to the reduction in the amplitude of price fluctuations. To the rise of 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 rose sharply on the background of release of data on fuel inventories in the United States. Thus oil inventories fell by 7.2 million barrels, against the forecast of decline by only 0.1 million, inventories of distillers increased by 3.3 million barrels. Production growth of shale oil by 1 million per day for the year negatively affects the future prospects for growth. High prices are supported by the clashes in Libya and 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 oil and expect price drop after the stabilization of the situation in Ukraine.

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