Oil prices fell today, due to the low volume of trading in anticipation of the holiday in the U.S., the shaky outlook for demand in China, as well as ample stocks in the United States. Note that today's oil prices continued their four-day downward trend. This week, the price of WTI crude oil showed the biggest decline since mid-April. Experts note that the quotes Brent crude oil fell under the influence of clear cyclical factors, chief among them - a low growth of the world economy, the pace of which are able to drive oil prices below the $ 95 per barrel.
Note that the more positive economic data in the U.S. raised concerns that the Federal Reserve may soon collapse of bond purchases and curb the huge cash flow, which encourages financial investors to bet on oil.
The data showed that orders for durable goods rebounded in April, offering some good news for the manufacturing sector, which has recently slowed recovery of the U.S. economy. According to the report, orders for durable goods increased by 3.3% compared with the previous month to a seasonally adjusted 222.6 million. Economists had expected an increase of 1.3%. Expenses rose almost across the board, most of all in the defense sector by 53.3% and orders for civilian aircraft increased by 18.1%. Orders for durable goods without volatile sector rose by 1.3%. Durable goods are generally expensive products are designed for use within a few years. Businesses and consumers usually make such purchases when they are confident in the economy.
We also add that the pressure of the oil have concerns that China can not achieve its growth target of 7.5 percent this year.
The cost of the July futures on U.S. light crude oil WTI (Light Sweet Crude Oil) fell to 93.48 dollars a barrel on the New York Mercantile Exchange.
July futures price for North Sea Brent crude oil mixture fell $ 0.56 to $ 102.09 a barrel on the London exchange ICE Futures Europe.
Note that, despite the current slight decline in gold prices, precious metal remains on track for the biggest weekly increase for the month, which is supported by the fall in the stock markets and comments from members of the Federal Reserve System.
It is also worth adding that gold was supported this week by the fall of the shares, and especially in Europe, which yesterday revealed its biggest one-day drop in nearly a year on Thursday. Meanwhile, speculation about the Fed is that the program of monetary stimulus may be completed, continues to put pressure on gold.
Experts point out that today's slight decline is likely due to the fact that investors are preparing for a longer weekend than usual due to the holiday in the U.S..
Also on the dynamics of trade have influenced the U.S. data, which showed that durable goods orders rose 3.3% in April after falling by a revised 5.9% in March. Economists had expected orders to rise by 1.1% compared to the 5.7% drop that have been reported for the previous month. Total orders for durable goods in April, adjusted for seasonal variation was 222.6 billion dollars. Spending increased in almost all categories, with the growth leader orders for military aircraft and parts, which increased by 53.3%, as well as orders for civilian aircraft, which increased by 18.1%. With the exception of volatile orders for transportation equipment, orders for durable goods rose 1.3% in April, compared with 1.7% ethyl drop in March. Orders for durable goods excluding defense value of goods in April rose by 2.1% compared with 4.7% ethyl drop in March.
Meanwhile, today it was announced that the gold reserves in the SPDR Gold Trust fell yesterday by 1.5 tonnes to 1,018.567 tons level, resulting in a total outflow for the week amounted to 19.8 tons.
The cost of the June gold futures on COMEX today dropped to 1386.50 dollars an ounce.
Change % Change
Last
GOLD 1,390.40 23.00 1.68%
OIL (WTI) 94.34 0.06 0.06%
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