The price of gold after a rapid growth caused by the failure of Greece's negotiations with creditors. Gold is traditionally considered as a defensive asset and its price increases during the period of instability. Investment funds increased their purchases of the metal last week, but consumption in China and India, which are the largest buyers of gold is low due to seasonal factors and probably will start to grow only in the autumn. The dynamics of prices in the near future will depend on the rhetoric of European politicians, as well as the results of the referendum on the austerity measures in Greece, which will be held on July 5. Our medium-term outlook remains positive.
The price of Light Sweet crude oil has continued to decline amid fears of investors about the Greek crisis, which may lead to negative consequences in the entire European Union. The excess of supply of oil continues to put pressure on the quotes and can be increased in the case of the lifting of sanctions on oil exports from Iran to the current negotiations on the country's nuclear program. It is worth noting that there is currently no consensus on the matter. Demand for oil in China has decreased, which also negatively affects the quotes. Our medium-term outlook remains negative and we expect increased volatility in the near future.