Asia: Gold, USD, Crude Oil, Stocks & Commodities

Asia: Gold, USD, Crude Oil, Stocks & Commodities

FLASH: Gold Up, USD Firm, Crude Oil Down, Stocks Up

Notes: The market’s focus is Friday’s US NFPs for June, which economists expect to have risen by 160,000 in June, compared with 75,000 in May.

USD firm on Friday but traders held off on making big bets ahead of the closely-watched US NFPs report that could influence the course of near-term Fed policy.

British Royal Marines seized a giant Iranian oil tanker in Gibraltar Thursday for trying to take oil to Syria in violation of EU sanctions, a dramatic step that drew Tehran’s fury and could escalate its confrontation with the West.

In Asia

Gold: Gold higher Friday and were on track for a 7th consecutive weekly gainer, as investors awaited US employment data that could influence expectations about aggressive policy easing by the Fed.

  • Spot gold was up 0.2% at $1,418.25 oz, as of 0401 GMT, rising nearly 0.7% on the week,
  • US gold futures were steady at $1,420.80 oz.

We have a Key event later Friday for the global economy, the NFPs. If they come in weaker than expected, we will see confirmation of 1 of the Key supports for gold that is lower interest rate environment.

On the technical side, spot gold may retest a resistance at $1,435 oz, with a good chance of breaking above this level and rising into a range of $1,443-$1,456.

Energy: Crude Oil prices fell Friday as concerns over the outlook for global economic growth outweighed elevated tensions in the Middle East that could disrupt supply routes and send prices North.

  • NYMEX WTI Crude Oil futures down 1.1% at $56.72 bbl by 0310 GMT,
  • Front-month ICE Brent Crude futures were down 0.1% at $63.25 bbl, after closing down 0.8% Thursday.

Analysts said Crude Oil was under pressure because fears over future demand amid trade disputes threatening global economic growth. But losses were checked by commitment to cut production from the world’s largest exporters including members of OPEC. 

Equities: Asian shares hang near 2-month high Friday as investors braced for US employment data, a Key release that could stoke or temper market expectations about aggressive policy easing by the Fed.

Trade across global markets was expected to remain subdued following the Independence Day Holiday in the United States Thursday and ahead of the NFPs report late Friday.

MSCI’s broadest index of Asia-Pacific shares sans Japan was set for its fifth straight weekly rise which took it to 534.40, the highest since early May. It was last at 532.82.

Japan’s Nikkei .N225 was a tad weaker. Chinese shares were mixed with the blue-chip index .CSI300 up 0.2%. Australia and New Zealand shares were slightly higher as was Hong Kong’s Hang Seng index .HSI.

E-Minis for the S&P500 ESc1 advanced about 0.1%.

World stocks and bonds have rallied since June on hopes global central banks will keep policy easy to support growth.

Currencies: .DXY Vs a basket of 6 peer currencies is little changed 96.748, having spent the Thursday ranged as the US financial markets were closed for the Independence Day holiday.

,DXY had fallen to a 3-month low of 95.843 last week as US Treasury yield fell to 2.5 year lows on expectations the Fed will cut interest rates this year, starting as early as this month.

USD was flat at 107.850 JPY, little changed on the week, during which it briefly touched a 2-week high of 108.535 when a US-China trade truce boosted risk appetite and weighed on the safe-haven JPY.

EUR steady at $1.1284 headed for a weekly loss of 0.75%. A drop in European government bond (EGB) yields to record lows this week, in sympathy with the global debt rally, has weighed on the single currency.

AUD was flat at $0.7026 after climbing to a 2-month high of $0.7048 Thursday.

GBP struggled near a 2-week low of $1.2557 marked Wednesday.

Commodities (quotes): Energy, Metals, and Agriculture Grains

COMMODITYLASTCHANGE% CHANGEEXP DATETIME
NYMEX Crude Oil »56.81 USD-0.53-0.93%Jul 191:17AM EDT
ICE Brent Crude »63.36 USD+0.06+0.09%Jul 191:18AM EDT
NYMEX RBOB Gasoline »1.89 USD-0.02-1.21%Jul 191:06AM EDT
Dubai Crude Spot »61.46 USD-0.08-0.13%Dec 021:28AM EDT
ICE Gas Oil »573.25 USD-1.50-0.26%Jul 191:09AM EDT
NYMEX No2 Heating Oil »1.88 USD-0.01-0.79%Jul 191:15AM EDT
NYMEX Nat Gas »2.29 USD-0.00-0.09%Jul 191:17AM EDT
ICE NBP Nat Gas »27.02 GBP+0.000.00%Jul 1911:55AM EDT
COMMODITYLASTCHANGE% CHANGEEXP DATETIME
Gold Spot »1,417.68USD+2.49+0.18%Dec 021:29AM EDT
COMEX 100oz Gold »1,418.20USD+0.50+0.04%Jul 199:14PM EDT
Silver Spot »15.27USD-0.01-0.08%Dec 021:29AM EDT
Platinum Spot »837.37USD+4.87+0.58%Dec 021:29AM EDT
Palladium Spot »1,560.70USD-1.30-0.08%Dec 021:29AM EDT
COMEX Copper »2.67USD-0.01-0.45%Jul 1911:00PM EDT
COMMODITYLASTCHANGE% CHANGEEXP DATETIME
CBOT Corn »433.00USC+0.000.00%Jul 195:15PM EDT
CBOT Wheat »518.00USC+0.000.00%Jul 195:26PM EDT
KCBT Wheat »436.00USC+0.000.00%Jul 195:20PM EDT
MGE Spring Wheat »564.00USC-1.25-0.22%Dec 021:00AM EDT
Euronext Milling Wheat »179.50EUR+0.000.00%Sep 1912:29PM EDT
CBOT Soybean »885.25USC+0.000.00%Jul 195:25PM EDT

Have a terrific weekend.

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

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