SaxoTV

Commodities under pressure but are markets set for a post Fed rally?

685 views
November 13, 2015 OPEC, US, US economy, USD, USD forex, china, commodities, commodities updates, commodity, commodity corner, commodïties, copper, copper price, crude, fed, federal, federal reserve, forex, gold, gold and silver, gold market, gold prices, hike, levels, market, market updates, metals, oi, oil, oil pricing, ole hansen, precious metals, rally, rate hike, rates, rise, saxo tv, tradingfloor.com, wti, wti oil
Gold is at a 6 year low after yet another slump in commodity prices. Ole Hansen, Head of Commodity Strategy at Saxo Bank Ole Hansen explains why investors are being put off buying gold ahead of a widely expected rate rise by the US Federal Reserve in December. Prices are being hit in terms of both physical and paper market demand, an unusual combination.

Copper is also at a 6 year low amid a decline in industrial metals largely hit by the Chinese economic slowdown, but also by oversupply. 

Oil is trading within a USD 40-50 range but if the price is sitting at the bottom end of that scale on the eve of the next OPEC meeting on December the 4th then that might mean extra pressure on the major oil producers to cut production just as seasonal refinery demand lifts. Ole talks through his trade tip for WTI.