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

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


FLASH: Gold Off, USD Up, Crude Oil Off, Stocks Flat (May Day Holiday)

Note: USD consolidated in Asia Thursday after recovering from a brief spill overnight when markets were whipsawed by mixed messages on policy from the Fed.

There was little immediate reaction to a report the United States and China were nearing a trade deal that would roll back a portion of the $250-B in US tariffs on Chinese goods.

India’s gold demand is expected to rise in the June Quarter from a year ago due to a higher number of auspicious days for weddings and a fall in local prices ahead of a key festival, the World Gold Council sai Thursday.

A rise in consumption by the world’s 2nd-biggest gold consumer could help global prices, currently hovering near a 4-month low, but could widen India’s trade deficit and put pressure on the Rupee.

In Asia

Gold: Gold fell Thursday after comments from Federal Chairman Powell dampened hopes of a near-term rate cut, boosting the Buck and US Treasury yields.

  • Spot gold shed 0.2% to $1,274.50oz as of 0403 GMT,
  • US gold futures fell 0.7oz to $1,275.70 oz.

The Fed held interest rates steady Wednesday, emphasizing on the rhetoric that it does not see a readjustment of rates near term.

We know that the Fed is going to be on pause for a while, but the market was pricing in a more Dovish lean towards the end of Y 2019, and investor bets say it will do.

Energy: Crude Oil prices fell Thursday, pulled down by record US production that led to a spike in stockpiles.

  • Spot ICE Brent Crude Oil futures were at $71.91 bbl at 0239 GMT, -27c, or 0.4%, below Wednesday’s close,
  • NYMEX WTI Crude Oil futures were down 19c, or 0.3%, at $63.41 bbl.

Outside the United States Crude Oil markets remained tense as exemptions to US sanctions on Iran expired, a political crisis in Venezuela escalates, and as OPEC keeps withholding supply.

For producers, the tight market conditions mean higher profits.

Equities: Asian markets marched in place Thursday with 2 major centers, Japan and China shuttered for holidays.

MSCI’s broadest index of Asia-Pacific shares sans Japan was off 0.1%, trading in a tight range.

Australian shares slipped 0.7%, while New Zealand was up 0.4% and SKorea’s KOSPI index added 0.1%.

E-Mini futures for the S&P 500 were flat to unchanged.

Trading in Japan will resume next Tuesday while China will be back in action next Monday.

Currencies: .DXY rebounded Vs a basket of peer currencies, seeing it last at 97.606 compared to a low of 97.149 Wednesday.

EUR at $1.1207, after reaching as high as $1.1265 overnight, while USD steadied at 111.54 JPY from a low of 111.03.

The next major test for the Buck will be US payrolls Friday where any surprise has the power to shift Fed rate expectations again.

GBP was 1 of the few currencies to buck USD, tapping a 2-week high Wednesday on speculation BREXIT talks between the British government and the main opposition party were making some progress, GBP was last at $1.3054 in Asia, having been as high as $1.3101 overnight

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

NYMEX Crude Oil »63.34 USD-0.26-0.41%May 192:58AM EDT
ICE Brent Crude »71.86 USD-0.32-0.45%May 192:58AM EDT
NYMEX RBOB Gasoline »2.06 USD-0.01-0.35%May 192:55AM EDT
Dubai Crude Spot »70.96 USD-0.27-0.38%Dec 023:07AM EDT
ICE Gas Oil »642.25 USD+3.25+0.51%May 192:55AM EDT
NYMEX No2 Heating Oil »2.09 USD-0.01-0.29%May 192:59AM EDT
NYMEX Nat Gas »2.61 USD-0.01-0.34%May 192:59AM EDT
ICE NBP Nat Gas »33.25 GBP+0.66+1.98%May 192:59AM EDT
Gold Spot »1,271.71USD-4.64-0.36%Dec 023:09AM EDT
COMEX 100oz Gold »1,281.40USD+0.000.00%May 197:01PM EDT
Silver Spot »14.65USD-0.03-0.20%Dec 023:09AM EDT
Platinum Spot »865.75USD+1.75+0.20%Dec 023:09AM EDT
Palladium Spot »1,355.35USD+2.85+0.21%Dec 023:09AM EDT
COMEX Copper »2.81USD+0.00+0.07%May 192:54AM EDT
CBOT Corn »362.25USC+2.25+0.62%May 1911:42PM EDT
CBOT Wheat »425.00USC+0.000.00%May 195:27PM EDT
KCBT Wheat »389.25USC+0.000.00%May 191:00AM EDT
MGE Spring Wheat »495.00USC+0.000.00%May 192:37AM EDT
Euronext Milling Wheat »183.25EUR+0.000.00%May 1912:29PM EDT
CBOT Soybean »839.00USC-0.50-0.06%May 199:27PM EDT

Stay tuned…

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