EUROPEAN COMMODITIES UPDATE: Contained and limited trade ahead of afternoon macro events incl. US CPI
Analysis details (10:35)
- Overall, the commodity space is in-fitting with broader market action and as such is relatively contained ahead of US CPI and numerous Central Bank speakers/events.
- Specifically, WTI and Brent are within touching distance of the unchanged mark within parameters less than USD 0.50/bbl as specific newsflow has been essentially non-existent aside from China-Taiwan geopolitics. On this, Reuters initially reported that China intends to impose a no-fly zone north of Taiwan from April 16th-18th according to sources. An update which sparked unsurprising pushback from Taiwan and has since been reduced to a 27-minute window on April 16th for a “falling object related to a launch vehicle”. The initial Reuters report sparked a very modest and limited dip in risk sentiment.
- For gas, which is modestly pressure but in-fitting with the above resides in slim and familiar ranges, ICE has announced that it is to implement expiry limits on Dutch TTF natural gas futures which will be effective for the June expiry.
- Moving to metals where the narrative is much the same and features both precious and base metals essentially unchanged. Spot gold continues to hold above the USD 2k mark and has increased the gap somewhat when compared to Tuesday’s action from its 10-DMA at USD 1994/oz. Elsewhere, base metals are mixed around the neutral mark in-fitting with the broader risk tone, APAC handover and current USD action.
12 Apr 2023 - 10:34- MetalsData- Source: Newsquawk
Subscribe Now to Newsquawk
Click here for a 1 week free trial
Newsquawk provides audio news and commentary for over 15,000professional traders and brokers worldwide. Services include:
- Real-time audio coverage from 0630 to 2200 London time plus Asia-Pac 2200 to 1000 London time
- Teams of analysts covering equities, fixed income, FX, energy, and metals markets
- Real-time scrolling news service with instant analysis
- Daily and weekly pre-market research and calendars
- Video updates covering near-term key risk events & primary trading themes
- One-to-one chat with our expert analysts