11 Oct 2013
Commodities mixed amidst “safe-haven” assets appeal fades away
FXstreet.com (Athens) – Commodities mixed amidst “safe-haven” assets appeal fades away
At the time of writing the price of crude oil is heading down 0.27%, Brent is also trading south by 0.26%, while gold is trading to the upper way up 0.36%. As matter of fact, we could easily point out that amidst news mentioning that finally even at the 12th hour and for a short term of period we will have a raise in the US debt ceiling, “risk-on” sentiment strikes back across the board. Yesterday, the greenback climbed to a two-week high against major currencies on Thursday on rising optimism Washington lawmakers might reach a deal to avert a U.S. default. The dollar index rose as high as 80.595, the strongest since Sept. 26, extending its recovery from an eight-month low of 79.627 hit last Thursday.
Furthermore, Brent oil prices jumped close to $3 per barrel and ended with their largest gain in more than a month on Thursday on growing hope for a deal to extend funding of the U.S. government, and on concerns about supplies from Libya and the Middle East. What’s more, the spread had widened to as much as $8.98 per barrel to its widest since Sept. 2 and settled at $8.79, its widest settlement since early June. Last but not least, gold fell more than 1 percent on Thursday on signs that a deal might be reached to avert a potential U.S. debt default, which boosted the dollar and discouraged safe-haven bids.
At the time of writing the price of crude oil is heading down 0.27%, Brent is also trading south by 0.26%, while gold is trading to the upper way up 0.36%. As matter of fact, we could easily point out that amidst news mentioning that finally even at the 12th hour and for a short term of period we will have a raise in the US debt ceiling, “risk-on” sentiment strikes back across the board. Yesterday, the greenback climbed to a two-week high against major currencies on Thursday on rising optimism Washington lawmakers might reach a deal to avert a U.S. default. The dollar index rose as high as 80.595, the strongest since Sept. 26, extending its recovery from an eight-month low of 79.627 hit last Thursday.
Furthermore, Brent oil prices jumped close to $3 per barrel and ended with their largest gain in more than a month on Thursday on growing hope for a deal to extend funding of the U.S. government, and on concerns about supplies from Libya and the Middle East. What’s more, the spread had widened to as much as $8.98 per barrel to its widest since Sept. 2 and settled at $8.79, its widest settlement since early June. Last but not least, gold fell more than 1 percent on Thursday on signs that a deal might be reached to avert a potential U.S. debt default, which boosted the dollar and discouraged safe-haven bids.