The first King Zhengshen: Cushing's stockpile re-pressurization collapse oil price risk concerns again help gold

Reading: Worries about global economic growth and the general decline in risky assets have put oil prices under pressure and crude futures prices fell in Thursday. The Fed's meeting minutes, "pigeon-racing", pushed the yen, gold and other safe-haven assets up, and the dollar continued to be pressurized.

Fears of global economic growth and a general decline in risky assets have put oil prices under pressure and crude futures prices fell in Thursday. The price of WTI crude futures, which was delivered by the New York Mercantile Exchange in May, fell 49 cents, or 1.3%, to $37.26 a barrel. Brent crude futures, the London Intercontinental Exchange, fell 41 cents, or 1.03%, at $39.43 a barrel.

WTI and Brent crude futures were up 5.2% in Wednesday as the U.S. crude oil inventories unexpectedly dropped sharply last week and demand for oil refining continued to rise. Market risk aversion increased in Thursday, and assets such as gold and Treasuries were sought after, and stocks and crude oil, which were considered riskier, were sold. Analysts believe the shift in sentiment is due to uncertainties in the global economic outlook.

Oil prices fell in Thursday. Despite an oil pipeline outage, the EIA data show that the U.S. crude oil futures contract delivery to the warehouse in the weekly inventory increase. But short-back compensation has reduced oil prices, suggesting that the future may be more volatile. Jim Ritterbusch of Ritterbusch & Associates, an oil market consultancy, said:

"Energy market investment is still volatile, fundamentals and macroeconomic factors staggered, daily changes." ”

In addition, Cushing's stockpiles of crude oil are still increasing, although TransCanada Corp closed its Keystone pipeline since Saturday. The Keystone pipeline transports 590,000 barrels of crude oil daily to Cushing and Illinois State. TransCanada worried that the Keystone oil pipeline could spill, so shut it down.

According to Genscape, an energy intelligence firm, Cushing increased its crude stock by 255,804 barrels in the week ending Tuesday. Genscape noted that, despite the impact of the Keystone outage, the stock was reduced by 481,485 barrels in the year ended Tuesday, but not enough to offset the total inflow of crude oil during the week.

Another reason for the oil price pressure is from Iraq, one of the country's fastest-growing OPEC producers. According to the data, the average daily export of crude oil from southern Iraqi ports in the early April was 3.494 million barrels, higher than the 3.286 million barrels in March.

Nonetheless, close to the closing, investors back short, cloth oil and U.S. oil futures recover most of the decline. Some attributed this to the optimism of some investors. They believe that, despite the increase in Cushing's inventories, the overall supply and demand situation in the United States has become more balanced. An EIA report released in Wednesday showed that the U.S.-April 8 weekly EIA crude stocks decreased by nearly 5 million barrels.

The Fed's minutes show that the agency is wary of future interest rate hikes, plunging the dollar against the yen, pushing gold prices higher and gold futures prices high in Thursday. Gold futures prices for the New York Mercantile Exchange in June rose $13.70, or 1.1%, to close at $1236.20/oz.

A weaker dollar would usually push up the price of commodity futures denominated in dollars, which makes gold more expensive for buyers of foreign currencies. The strength of the yen is also seen as a sign that investors are shunning risky assets, and gold as a safe haven is also being sought after. The dollar fell 108 yen against the yen in Thursday for the first time in 17 months, as the BOJ was not expected to intervene in the market. The euro has slipped against the dollar as the ECB is likely to hold a more "pigeon pie" stance.

The dollar fell by as much as 1.6% to 107.71 yen, the lowest since the end of October 2014, after a partial decrease in late-trading. The dollar has fallen nearly 10% per cent this year, down about 3% per cent in the past week. Analysts said the BOJ had not hinted that it would stop the yen from rising, and investors had to abandon the long-held yen to see empty bets. Shahab Jalinoos, global head of Credit Suisse's foreign exchange strategy, said:

"Investors now expect Japanese policymakers not to provide the dollar/yen support as expected. This creates some confusion and, of course, prudent risk management advice that people should reduce their exposure to empty positions. ”

In order to reach the 2% inflation target, the central bank is prepared to take further monetary easing if necessary, the BoJ governor, Kuroda, said at a quarterly meeting of head of the BoJ. But he also pointed out that the Japanese economy continued to moderate recovery, and has become a trend. The head of the Nagoya Branch said Japanese car exports were still strong and the yen's recent rise had not had a big impact. The dollar is expected to rise slightly against the euro and the yen by the end of the year, according to a Reuters survey released in Thursday.

The euro was down from $1.1453 in nearly six-month highs against the dollar, which saw $1.1338 in the intraday low. Commonwealth Foreign Exchange chief market analyst Omer Esiner said investors may be implementing more stimulus measures for the ECB in preparation for the possibility of the euro's recent rise. He said:

"The ECB will not be happy to see the recent euro's performance of nearly $1.15. This may imply that the ECB may want to take a more pigeon-pie stance. "." The solution. q:1.0.7.3.6.7.5.0.1.8 tel:1.3.1.4.3.0.6.1.1.6.0

The first King Zhengshen: Cushing's stockpile re-pressurization collapse oil price risk concerns again help gold