EUROPEAN COMMODITY UPDATE: Commodities influenced by the firming Dollar ahead of US CPI

Analysis details (10:27)

WTI and Brent futures trade with mild losses intraday as the mood remains cautious and the Dollar picks up, but in the grander scheme, the contracts are consolidating after settling lower yesterday by USD 3.08/bbl and USD 2.71/bbl respectively amid a broader risk-off mood in the markets. Fresh fundamentals have been light for the complex with all eyes on the US CPI which will likely dictate price action barring any other major macro updates - such as an update on China’s COVID front or a geopolitical escalation. WTI Dec resides around within an 85.16-98/bbl range, whilst Brent Jan sits in a 92.13-94/bbl parameter. Elsewhere, spot gold has adopted a mild downside bias as the Dollar gained in recent trade, with gold just above the USD 1,700/oz mark, with the 100 DMA at USD 1,714.55/oz and yesterday’s low at USD 1,701.20/oz – the yellow metal eyes the US inflation data. Base metals are also lower across the board amid the cautious risk tone and firmer Dollar, with 3M LME copper back under USD 8,000/t (vs high USD 8,100/t).

10 Nov 2022 - 10:29- MetalsData- Source: Newsquawk