Commodity market outlook

By Advisorymandi |
Dec 08, 2016
Last Updated at 12:04 IST

Gold

Gold up on weaker dollar ahead of ECB meetings.

Gold prices edged up on Thursday buoyed as a fall in the dollar along with long-dated US Treasury bond yields ahead of a European Central bank meeting prompted safe-haven buying of the precious metal.

A weaker greenback makes dollar-denominated gold cheaper for holders of other currencies.

Spot gold had risen 0.3 percent to $177.06 an ounce by 0255 GMT. US gold futures were up 0.1 percent at $1179 an ounce.

The ECB will extend its already generous assets buys on Thursday aiming to boost stubbornly weak prices growth, but with much of its firepower exhausted it may also debate sending a token signal about the eventual end of such purchase.

Some analyst have an opinion that even if the precious metal responds positively to the ECB’s expected easing, any advances could be short-lived as they have a fed meeting in just over a week.

Crude

Crude oil prices rise on US crude stock decline, weaker dollar.

Oil prices edged up in thin trading on Thursday after steep falls in the previous session, supported by a weaker dollar, positive economic data and a drawdown in US crude stocks.

International Brent crude futures were trading up 4 cents $53.04 a barrel at 0345 GMT after closing the previous session down 93 cents.