EUROPEAN COMMODITIES UPDATE: Choppy trade in crude, whilst gold flat-lines and base metals trade mixed

Analysis details (10:42)

WTI and Brent front-month futures attempted a recovery of last week’s losses overnight, however, the upside momentum faded alongside a Dollar-rebound off lows. News flow for the complex has been quiet, but Iranian nuclear talks continue today with conflicting messaging emanating from Vienna, as Russia’s envoy to Iranian nuclear talks Ulyanov expressed optimism regarding talks in which he said that they are moving in the right direction and the number of unresolved issues is minimal, while US envoy Malley was quoted as voicing disappointment, according to Iran International. Amidst all the noise, the most watched interaction will be between Washington and Tehran, with eyes on whether either side will offer enough concessions to break the JCPOA deadlock – thus far expectations are low. WTI September resides around USD 88.50/bbl (87.86-90.17 range) whilst Brent October dipped under USD 95/bbl (93.74-96.10 range). Elsewhere, spot gold is trading sideways around USD 1,775/oz amid a lack of drivers. Overnight, Chinese base metal futures opened firmer with added impetus from the Chinese trade data, whilst LME contracts trade somewhat mixed. Finally, for nickel watchers, Tesla has reportedly signed a contract worth around USD 5bln to purchase battery materials from nickel processing companies in Indonesia, via Reuters citing CNBC Indonesia.

08 Aug 2022 - 10:42- MetalsResearch Sheet- Source: Newsquawk