23.10.2014 - Oil inventories in the United States continues to grow

The price of gold has corrected after reaching $ 1350 per troy ounce. The reason for the decline was a number of factors. Thus, the US dollar strengthened after the release of data on the country's inflation of 0.1%, which is 0.1% better than expected. Demand for gold in Asia fell slightly. Today have been published data on the manufacturing PMI in China, which grew by 50.4, which is 0.2 better than analysts' expectations. Today the course of trading will be affected by the data on the industry and service sectors in the Eurozone (08:00 GMT) and the USA (13:45 GMT). We maintain our positive medium-term outlook for gold with the objectives of 1265, 1290 and 1330, but in the near future we can see a continuation of the correction.

The price of oil has fallen sharply against the background of a report on oil and petroleum products' inventories in the United States. Thus, according to the latest results, oil reserves increased by 7.1 million barrels compared with the expected growth of 2.8 million barrels. In addition, the utilization of refining capacity has decreased to its lowest level since March 21, to 86.7%, due to the maintenance of a number of plants before switching to the production of winter fuel. The price of oil is under the pressure of reduction of demand in Asia and Europe, on the background of the growth of production in the United States and the countries of OPEC. It should be noted that OPEC probably will not reduce production. We expect a further decline in oil prices and maintain a medium-term negative outlook.

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