Crude posts further gain in Asia after surprise U.S. stocks draw - 11 May 2017
Gold holds gains in Asia on risk-on sentiment over U.S. politics.
Gold prices gained in Asia on Thursday as risk-on sentiment remained in place on prospects for President Donald Trump to push new economic policies amid a political backlash over his firing for FBI Directors James Comex. Overnight, gold prices traded higher on Wednesday, as investors’ appetite for risk eased, after Trump unexpectedly sacked Comex while geopolitical jitters over North Korea returned as gold futures bounced off an eight-week low.Kaplan said that three total rate hikes in 2017, is the “baseline scenario” but insisted that the Federal Reserve would continue to monitor changes in economic activity, which could pave the way for a more hawkish or dovish approach to future rate hikes. According to investing.com’s Fed rate monitor tool, nearly 80% of traders expect the Federal Reserve to hike interest rates in June, compared to 63% in the previous week.
Cerro Colorado Copper Mine Workers to Go on Strike in Coming Weeks.
Cerro Colorado copper mine’s labor union said workers plan to go on strike for 24 hours in the coming few weeks, wenhua.com reported. Workers at BHP Billiton’s Cerro Colorado once blocked the road to mining area. BHP Billiton plans to sell the Cerro Colorado copper mine.
LME Lead to Strengthen.
LME lead moved above the 5-day moving average on Wednesday, and will strengthen on Thursday, with price range at USD 2,180-2,200/mt. SHFE 1706 lead advanced above the 5, 10, and 20-day moving averages on Wednesday’s night trading. The contract, finding support at RMB 16,000/mt, will trade at RMB 16,100-16,300/mt on Thursday. In China’s domestic market, spot lead should drop RMB 25/mt and trade at RMB 16,050-16,150/mt on Thursday.
Crude posts further gain in Asia after surprise U.S. stocks draw.
Crude prices rose further in Asia on Thursday, building on overnight gains following an upbeat report on U.S. inventories. On the New York Mercantile Exchange crude futures for June delivery rose 0.49% to $47.56 a barrel, while on London's Intercontinental Exchange, Brent gained 0.44% to $50.44 a barrel.
Elsewhere, investors continued to monitor comments from energy ministers, after Saudi oil chief Khalid Al-Falih said Monday, that he was “confident the agreement will be extended into the second half of year and possibly beyond." Oil prices have erased the gains achieved since November, when OPEC and other producers, including Russia, agreed to cut output by about 1.8 million barrels per day (bpd).
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