• Gold prices traded higher yesterday on the weak dollar but in late trading session erased gains as a new coronavirus stimulus deal between the White House and Congress remained elusive. Prices are capped in 1877-1939 trading band.
  • Silver prices garnered support Monday on signs of strength in China's economy that is positive for industrial metals demand but of late gave up gains tracking gold’s move.
  • The dollar index slipped to the low of 93.195 before closing the day at 93.429 yesterday.
  • Energy prices on Monday initially opened higher on a weak dollar and stronger-than-expected Chinese economic data. However, crude prices gave up their gains and turned lower after stocks slumped on concern that U.S. lawmakers will be unable to agree on additional pandemic stimulus before next month's presidential election.
  • Comments on Monday from the Saudi Arabian Oil Minister Prince Abdulaziz Bin Salman were supportive of crude prices when he said OPEC+ will do what's necessary to balance the market, and no one should doubt OPEC+ commitment.
  • Bank of America/Merrill Lynch said that global oil demand would fall by -10 million bpd this year and take 2-3 years to fully recover from the Covid pandemic.
  •  Natural gas prices on Monday shook off early losses and closed higher. Signs of strength in U.S. natural gas demand were bullish for prices as total natural gas consumption in the lower 48 U.S. states on Monday was up +1.3% y/y at 68.8 bcf.

By Tarunsatsangi.com