PHYS - Commodities Roundup: Gold oil gain as Fed hits pause again on rate hikes
2023-11-02 06:02:26 ET
Precious metals gained on Thursday, with gold ( XAUUSD:CUR ) rising for a second session in a row, as the dollar index ( DXY ) eased post the Federal Reserve's decision to hold rates for a second meeting in a row, with the ongoing conflict between Israel and Hamas adding to bullion's safe-haven allure.
Oil prices also gained, with Brent crude snapping four-consecutive session of declines, as Middle East tensions kept investors on edge about whether it could disrupt oil supplies around the region. Market participants also looked ahead to the Bank of England's rate decision on Thursday. Interest rate hikes meant to tame inflation can also slow economic growth and dampen demand for oil.
"Year to date, global oil demand has expanded by a solid 2.0 mbd. Looking into November, with base effect largely behind us, data on global demand remain mixed among the countries that reported their oil consumptions statistics this week," JPM commodities research said.
"With peak seasonal demand behind us, US gasoline demand is tracking lower in October." Natural gas futures on the other hand traded lower on warmer weather outlook.
Elsewhere, base metal prices also ticked higher, with copper gaining for a second trading session buoyed by a weaker U.S. dollar and concerns over supply.
"Elevated geopolitical tensions continue to hang over energy markets. Supply side issues helped push some metal markets higher," ANZ analysts wrote in a note.
Among agriculture commodities, soybean futures rose, while cocoa and wheat fell.
Recent Commodity Price Movements
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Energy
Metals
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Palladium ( XPDUSD:CUR ) +0.10% to $1,104.24.
- Silver ( XAGUSD:CUR ) +0.43% to $23.09.
- Copper ( HG1:COM ) +0.67% to $3.67.
Agriculture
Commodity ETFs
Gold ETFs:
Other Metal ETFs:
Oil ETFs:
Agriculture ETFs:
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Commodities Roundup: Gold, oil gain as Fed hits pause again on rate hikes