The price of gold continues to decline against the strengthening of the US dollar. Improving macroeconomic indicators in the US increases the likelihood of the Fed raising interest rates this year. Yesterday was published the data according to which the number of new home sales rose to 517 thousand, compared with an expected 501 thousand, and the consumer confidence index rose to 95.4, which is 0.2 better than expected. Investors are waiting for the release of data on US GDP growth in the first quarter. Demand from consumers in Asia and investment funds remains weak. The increased interest in gold is possible in case of growth of the probability of default of Greece. We keep medium-term positive outlook for gold, but expect it to fall in the near future.
The price of Light Sweet crude oil continues to show a negative trend against the strengthening of the US dollar, as well as the possible resumption of growth in the number of drilling rigs in the United States. According to experts, the oversupply of oil on the world market is about 1.9 million barrels per day. It should also be noted that in the next month in the center of investors' attention will be negotiations on the lifting of the sanctions on oil exports from Iran. This step will increase the imbalance of supply and demand on the oil market. We expect a fall in oil prices despite the recent increase in consumption of Japan and China.