Other Markets
Crude Oil Analysis
August Nymex WTI prices have corrected modestly overnight in Asia after Tuesday’s bumper session saw prices rise a staggering 4% to post a close of $87.66, the highest since May 30.
Gold Analysis
Spot gold prices are consolidating around unchanged levels Wednesday, after Tuesday’s session saw prices establish themselves above $1600 to close at $1617.35 a troy ounce.
Bonds Analysis
German government bonds are trading mixed Tuesday, with the long-dated issues suffering in the wake of Dutch central bank announcement late Monday to modify the interest rate curve for insurers, in turn steepening the yield curve.
Gold Analysis
Spot gold prices are trading modestly higher Tuesday after some bleak U.S. manufacturing data helped rekindle hopes for some more monetary easing by central banks to support recovery.
USTB Analysis
Treasuries open NY higher after overnight gains. In TOKYO, Treasuries gained from the start after last Friday’s “risk-on” decline followed EU Summit plans, due to belated month-end buying by Japanese accounts as well on reaction to weaker than expected Chinese data, 48.2 June HSBC Mfrg PMI (weakest since Nov. 2011).
Gold Analysis
Spot gold prices are trading narrowly lower Monday as the market pauses after posting 3% gains during Friday’s session, gold’s biggest single day rally in a month.
Crude Oil Analysis
August Nymex WTI prices are trading in negative territory Monday, staging a moderate correction after Friday’s strong advance. WTI was above $85 a barrel early on in the Asian session before prices began to slip back in tandem with a correction lower in the euro,
Bonds Analysis
German government bonds are trading lower Friday, but off their worst level as traders take a second look at the EU Summit decision that allows for the EFSF/ESM to recapitalize banks directly, with conclusion that this isn’t a game changer.
Gold Analysis
Spot gold prices are trading in positive territory Friday after initially consolidating just above the lows posted during yesterday’s session.
Crude Oil Analysis
August Nymex WTI prices have bounced back from their lowest close in almost nine months, underpinned by speculation that an EU embargo on Iran, OPEC’s second-largest exporter, and a strike in Norway will tighten up crude supplies.
Bonds Analysis
German government bonds are opening higher Thursday with EMU peripheral spreads widening ahead of the EU Summit. Volumes are seen subdued ahead of month-/quarter-/half-year end tomorrow, where some estimates of quarter-end rebalancing is around $10.3bln in fixed income outflows compared to $5.4bln equity inflows.
Gold Analysis
Spot gold prices are trading around unchanged levels on Thursday ahead of the EU summit. Prices initially edged their way higher during Asian traded hours to highs of $1579.15, in tandem with a modest move higher in the euro, which was showing some resilience ahead of today’s summit.