The upward trend in crude prices continues. Also the base metal is shining. Gold and silver also rose. Also, what about the other commodities? Let’s take a look.
shining gold
The price of gold has reached the high of 2 weeks. Gold prices have been rising for three consecutive days. The price of gold on COMEX has reached 1800 dollars. COMEX has made a high of $1,790.10. Gold has reached near 47,600 on MCX.
Why did gold rise
Gold’s shine has increased due to the weakness of the dollar. Festival demand is also supporting the prices. Prices have also risen in the spot market. Global trends are also supporting the prices. The rise in Treasury yields in the US is providing support. Prices have increased after the FED statement. If inflation continues to rise, strict measures will have to be taken. Central banks of many countries are buying gold. There is a strong support in the price of crude. The demand for gold from the Gulf countries is expected to increase. Gold imports have increased again in India after Corona.
increased boiling in crude oil
There is a sharp jump in the prices of crude oil. Crude prices are seen at the high of 7 years. The price on Brent has crossed $ 86 while on WTI also the price of crude is trading near $ 84. On MCX also the price has come out above 6,250.
Why did it accelerate?
After Iraq’s oil minister’s statement, crude prices are seeing a jump. Iraq’s oil minister said that Brett would cross $100. At the same time, OPEC said that there is no idea to increase production. Saudi Arabia can demand up to 600,000 barrels per day. With the increase in cold, the demand for crude will increase. Petrol supply in the US is trading at a 3-year low. US crude inventory has dropped for the first time in 4 weeks. The EIA said that US crude inventories fell by 431,000 barrels in October, while US crude inventories in October fell by 426.5 mln barrels. At the same time, the reserve of petrol in the US has been the lowest since November 2019.
Base metal shine
Aluminum has reached an all time high. Aluminum has reached $3,228.75 in the international market. Copper prices are also showing momentum. Copper has reached a 5-month high in the international market while nickel prices are at a 7-year high. In the international market, nickel has set a high of $ 21,432.50, while nickel reached $ 21,602 in May 2014.
Reasons for the rise in aluminum
China’s declining production is behind the rise in prices. Production in China has also decreased since June 2020.
Reasons for the rise in copper
Supply disruptions in Chile, Peru pushed up prices. Lime stock price is down 90% in 2 months.
due to the rise in nickel
Strike in Canadian mines raises prices. The strike is expected to reduce production. Bad weather in the Philippines is having an impact on production. Production may be 10% less than the average in the Philippines.
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