Oil Gets Rare, Late Week Boost From IEA Demand Outlook By Investing.com



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By Barani Krishnan

Investing.com – The global energy agency that rarely helps the positive case in oil has given a friendly boost to those long crude, just as the week comes to an end.

Crude prices jumped more than 2% on Friday after the International Energy Agency bumped up its 2020 forecast for global oil demand, lifting a market that took its worst hammering in six weeks in the previous session.

The IEA’s outlook on oil has typically been dour over the past few years, putting it at odds with the Saudi-dominated OPEC — or Organization of the Petroleum Exporting Countries — whose members are determined to keep crude prices supported under any condition.

The Paris-based IEA raised its demand forecast to 92.1 million barrels per day, up 400,000 bpd from its outlook last month, citing a smaller-than-expected second-quarter decline.

New York-traded , the benchmark for U.S. crude futures, settled up 93 cents, or 2.3%, at $40.55 per barrel.

London-traded , the global benchmark for oil, settled up 89 cents, or 2.1%, at $43.24.

For the week, WTI rose 0.7% while Brent rose 1%.

Aiding the IEA’s outlook on crude was a slight weekly drop in the U.S. and positive news on Covid-19 vaccine development.

The weekly survey of rigs actively-drilling for oil in the United States fell by four to 181, indicating that crude production was still somewhat under control despite recent trends indicating higher output.

On the vaccine front, Gilead Sciences (NASDAQ:) released data on Friday showing its antiviral drug, remdesivir, cut the risk of death for severely sick coronavirus patients by 62% compared with standard care alone, sending its shares up more than 2%.

Biontech also delivered positive news in the race of a vaccine, with CEO Ugur Sahin reportedly claiming the company could have a treatment ready for approval by December, according to The Wall Street Journal

Yet, a surge in new coronavirus cases in the United States tempered expectations for a fast recovery in fuel consumption. Record high U.S. infection numbers in a day cast also doubts over the pace of economic reopenings from lockdowns, as well as the resumption of school in the fall season.

“After the IEA improved their oil demand forecast for the rest of the year,  WTI crude remains anchored below the $41 level and will likely struggle for any major moves until after Tuesday’s OPEC+ meeting,” said Ed Moya, analyst at New York’s OANDA.

OPEC+ is the wider alliance of oil exporting group led by Saudi Arabia and assisted by key ally Russia.

 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Gold Streaks On for 5th Week as Stimulus, Virus Worries Come to Fore By Investing.com



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By Barani Krishnan

Investing.com – Gold prices fell a notch Friday but that didn’t stop the yellow metal from cruising to a fifth straight weekly gain, boosted by U.S. stimulus measures to deal with the coronavirus pandemic and surging new global infections. 

for August delivery on Comex settled down $1.90, or 0.1%, at $1,801.90 per ounce. The contract hit $1,829.80 on Wednesday, its highest since September 2011, when it scaled to a record $1,911.60.  1,787.60

was down $3.72, or 0.2%, at $1,799.83 by 3:45 PM ET (19:45 GMT). The real-time indicator of bullion prices scaled $1,809.22 earlier on Thursday, a peak since September 2011, when it hit a record high of $1,920.85.

For the week, August gold rose 0.8% while bullion gained 1.4%.

“Gold’s short-term outlook remains very bullish as tensions will likely increase next week between the world’s two largest economies, investors brace for large layoff announcements as banks kick off earnings season, and the COVID-19 spread in US and Latin America still do not show any signs of plateauing,” said Ed Moya, analyst at New York’s OANDA.

Record high daily U.S. coronavirus infections have cast doubts over the pace of economic reopenings from lockdowns, as well as the resumption of school in the fall.

Latin America and the Caribbean have become “a hot spot” for the COVID-19 pandemic, with several countries now having one of the highest per capita infection rates and absolute number of cases in the world, U.N. Secretary-General Antonio Guterres said. A 9.1% contraction in GDP was expected this year in the region, which would be the “largest in a century,” said a video and briefing report by the U.N. chief.

 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Dollar Gains as Virus Cases Grow, For Now By Investing.com



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By Peter Nurse

Investing.com – The dollar pushed higher in early European trade Friday, helped by its safe haven status as coronavirus cases continued to surge in the United States and unemployment data pointed to a slow recovery in the labor market.

At 3:15 AM ET (0715 GMT), the , which tracks the greenback against a basket of six other currencies, was up 0.3% at 96.915. was down 0.2% at 1.2580, while was down 0.3% at 106.84. 

The number of coronavirus cases in the U.S., the world’s economic engine, continues to grow, with more than 60,000 new Covid-19 infections reported on Thursday.

With populous states like California, Florida and Texas recently breaking records, and having to restart some social distancing measures, hopes are fading for an aggressive economic revival.

The number of Americans filing for jobless benefits dropped more than expected last week, data showed Thursday, but the figure remained above one million for the 16th straight week. Continuing claims also remained above 18 million, suggesting the labor market would take years to recover from the pandemic.

However, while the dollar gained against the euro Friday– was down 0.2% at 1.1263–it’s still a little lower against the single currency year to date. And further losses look likely.

“Recent virus problems in the U.S. present a material risk to the U.S. recovery in the coming months, whereas the euro area service sector recovery is set to continue barring any second virus waves during the European holiday season,” said analysts at Danske Bank, in a research note.

Danske Bank calls for EUR/USD to reach 1.15 on a one-three month time frame.

Adding to the sense of a European recovery, French industrial production increased sharply in May, up 19.6%, as lockdowns were eased and factories reopened.

Attention will now turn to the meeting of the EU leaders next week, to see if there can be agreement allowing the proposed 750 billion euro recovery fund to be distributed to the economies hit hardest by Covid-19 in the region, although also of interest with be Fitch’s review of its credit rating for Italy.

“The question is whether Fitch decides to be tough and downgrade Italy. We expect that it will remain on hold given that the ECB and EU are showing strong support for Italy through QE and the expected recovery fund,” said Danske Bank.

Elsewhere, the risk-linked Antipodean currencies gave up their gains from the previous day, with the pair down 0.5% to 0.6932 and the pair falling 0.12% to 0.6555, while the pair gained 0.3% to 7.0115.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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Dollar Up Over Record Number of U.S. Cases By Investing.com



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By Gina Lee

Investing.com – The dollar was up on Friday morning in Asia. Investors turned to the safe-haven asset as the U.S. reported over 60,000 COVID-19 cases on Thursday, and dampened hopes of an economic recovery.

The U.S accounts for over 3.1 million of all cases. There are over 12.2 million cases and 550,000 deaths globally as of July 10, according to John Hopkins University data. Some states, including Florida, Texas and California, reported a record number of new cases on Thursday.

“The market was in a mild risk-off mood, following pretty bad [COVD-19] figures from Florida,” Kyosuke Suzuki, director of currencies at Societe Generale (OTC:), told Reuters.

The that tracks the greenback against a basket of other currencies gained 0.13% to 96.802 by 10:06 AM ET (3:06 AM GMT).

Another event giving the dollar a boost was Thursday’s U.S. Supreme Court ruling allowing prosecutors access to U.S. President Donald Trump’s financial record. The ruling dealt a blow to Trump’s battle to keep the details of his finances under wraps and is an unwelcome surprise to his for re-election in November.

The pair was down 0.17% to 107.

The risk-linked Antipodean currencies gave up their gains from the previous day, with the pair down 0.22% to 0.56947 and the pair falling 0.10% to 0.6562.

The pair gained 0.12% to 7.0004, and the pair fell 0.07% to 1.2595.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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Record Number of U.S. COVID-19 Cases Boost Gold By Investing.com



© Reuters.

By Gina Lee

Investing.com – Gold was up on Friday morning in Asia, with investors turning to the safe-haven after the U.S. saw a record number of daily COVID-19 cases.

The U.S. reported over 60,000 cases on Thursday, with Texas, Florida and California among the states with record numbers of new cases.

were up by 0.15% at $1,806.50 by 12:29 AM ET (5:29 AM GMT), ending the week above the $1,800 mark.

Meanwhile, COVID-19 continues its global rampage, with over 12.2 million cases and 550,000 deaths globally as of July 10, according to Johns Hopkins University.

The numbers further dampened investor hopes of an economic recovery from the virus, which was compounded with some cities forced to reimpose lockdown measures. Hong Kong tightened social distancing measures on Thursdays, following Beijing and Melbourne, to curb a fresh outbreak of the virus in the city

The prospect of further stimulus measures from central banks continues to give the yellow metal a boost.

“These stimulus (measures) are not going away very soon. If we see the global supply chain, it has been massively disrupted and that disruption adds to inflation as well,” Ryan McKay, commodity strategist at TD Securities, told CNBC.

With $2 trillion worth of existing stimulus measures due to expire at the end of July, investors will be looking for the U.S. Federal Reserve’s next move.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Asian Stocks Down, With Record COVID-19 Cases in U.S. Dampening Recovery Hopes By Investing.com



© Reuters.

By Gina Lee

Investing.com – Asian stock markets were mostly down on Friday, with investor hopes of a quick economic recovery dashed after the U.S. reported a record number of cases.

With states such as Florida, California and Texas reporting record numbers, over 60,000 new cases were reported in the country on Thursday.

Meanwhile, Hong Kong re-imposed tightened social distancing measures on Thursday to curb a new outbreak of cases in the city. Other cities currently under a second lockdown include Melbourne and Beijing.

“Coronavirus anxiety dominated market sentiment in a day where major economic releases were scarce… That left the focus on the high frequency data and daily COVID-19 news,” Kishti Sen, an economist at ANZ Research, said in a note.

Japan’s was down 0.36% by 11:12 PM ET (4:12 AM GMT) and South Korea’s was down 0.66%. Seoul’s mayor Won Soon Park was found dead in a suspected suicide after his daughter reported him missing on Thursday.

Down Under, the was down 0.14%.

Hong Kong’s was down 1.01%. China’s was down 0.84% while the was down 1.01%, with China’s markets putting an end to an almost three-week rally.

Capital Economics economist Oliver Jones told Reuters that the rise in China’s mainland equities bore similarities to the 2015 bubble, but on a smaller scale and with room for prices to inflate.

“That said, another boom-bust cycle in China’s equities could have even greater knock-on effects for markets elsewhere than before, with foreign holdings far higher now than five years ago,” he added.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Loonie Loses Ground as Oil Slump, Dollar Strength Offset Improved Housing Data By Investing.com



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By Yasin Ebrahim

Investing.com – The loonie fell against the dollar on Thursday as falling oil prices and increased appetite for safe-haven demand offset data showing better-than-expected Canadian housing activity.

rose C$1.5358.

Canadian housing starts inched up to 212,000 in June, adding to strong gains following a bottom in April, and beating forecasts for a rise to 198,000.

The move was largely expected given the favorable backdrop of low-interest rates and government stimulus that has helped cushion the fall out from job losses.

“Against that backdrop it is not so surprising that housing activity has been more resilient than many had been expecting,” RBC said. “Government support programs like CERB payments mean that household incomes have probably held up significantly better than job markets to-date.”

The better-than-expected housing data was offset by renewed a fall in oil prices and an uptick in safe-haven demand for the greenback.

Oil prices fell nearly 3%, the most in over two weeks, as growing Covid-19 cases have forced some states roll back reopening measures and raised investor concerns that strong gasoline demand will be short-lived.

A day earlier, the Energy Information Administration released data showing U.S. gasoline demand rose to its highest in four months. But the peak could prove shortlived amid signs demand is tailing off.

“[T]he week building up to the July Fourth weekend may prove to be a temporary peak … both activity trackers and retail sales indicators recording week-on-week falls in the last few days,” JBC Energy said. 

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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Oil Slumps 3% on Fears of There Will Be U.S. “Lockdown 2” By Investing.com



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By Barani Krishnan

Investing.com – Oil prices slumped as much as 3% on Thursday, the most in over two weeks, as the continued surge in new U.S. coronavirus cases sparked fears that the world’s largest economy might be forced into round of wide-scale lockdowns.

“In the U.S., economic activity will require a successful reopening of schools in autumn and that may hinge on a major reversal on mandating masks,” Ed Moya, senior market strategist at New York-based OANDA said in a note on oil.  “The virus spread is not plateauing as many populous states (Texas and Florida) are still seeing significant increases in hospitalizations.”

New York-traded , the benchmark for U.S. crude futures, settled down $1.28, or 3.2%, at $39.62 per barrel.

London-traded , the global benchmark for oil, slid 94 cents, or 2.1%, to settle at $42.35.

Top U.S. pandemics expert Anthony Fauci, speaking on a podcast hosted by the Wall Street Journal, said new COVID-19 cases in the country were seeing “exponential growth.” 

“It went from an average of about 20,000 to 40,000 and 50,000. That’s doubling. If you continue doubling, two times 50 is 100,” Fauci said. “Any state that is having a serious problem, that state should seriously look at shutting down. It’s not for me to say because each state is different.”

Data shows that more than 3 million Americans have already been infected by the COVID-19, with a death toll exceeding 133,000. On Wednesday, the United States reported a daily record of more than 60,000 cases. 

Fauci warned recently that the daily case growth could reach 100,000 without proper social-distancing and other safety measures. A new model by the University of Washington also predicts 200,000 U.S. coronavirus deaths by Oct. 1, casting further doubts about economic recovery. 

U.S. gasoline demand was falling in areas where lockdowns were being reinstated, Lachlan Shaw, head of commodity research at National Australia Bank (OTC:), was quoted saying by Reuters, although demand for fuels continued to recover in the economically-crucial East Coast.

Thursday’s slump in oil prices came after government data from a day ago showing U.S. rose by a staggering 5.65 million barrels last month.

Conversely, analysts followed by Investing.com had forecast a crude draw of 3.1 million barrels for last week to follow through with the previous week’s 7.1 million-barrel slide. 

The crude build wasn’t the only bearish picture for oil. U.S. came in 3.1 million barrels higher versus the previous week’s draw of 593,000. Analysts had expected another modest decline of 75,000 barrels last week.

U.S. oil production, meanwhile, stayed put at an estimated 11 million barrels per day, indicating that the huge slides in output seen between March and April during the height of the coronavirus pandemic was practically over. The United States produced a record high 13.1 million barrels daily in mid-March before demand destruction triggered by the Covid-19 forced drillers in U.S. shale oil patches to slash operating rigs and shut in some wells. 



Dollar Retreats Over Increased Hopes of Economic Recovery By Investing.com



© Reuters.

By Gina Lee

Investing.com – The dollar was down on Thursday morning in Asia, with investors retreating from the safe-haven asset over increased hopes of an economic recovery.

Corporate earnings from U.S. companies such as Apple (NASDAQ:) and Amazon (NASDAQ:) are due next week, increasing investor risk appetite.

But the increase was capped by ever-increasing COVID-19 numbers. Over 12 million cases globally as of July 9, according to Johns Hopkins University data, with some countries re-imposing lockdown measures.

“Rising stocks and a dip in Treasury yields are slight negatives for the dollar, but the market can’t move too far because we still have to worry about the virus,” said Minori Uchida, head of global market research at MUFG Bank.

“A lot of major U.S. economic data have been positive, so this will be less of a trading factor going forward. People are looking for cues from stocks, yields, and hedging costs.

The that tracks the greenback against a basket of other currencies slipped 0.16% to 96.213 by 12:21 AM ET (5:21 AM GMT).

The pair was down 0.01% to 107.23.

The pair slid 0.29% to 6.9840. The yuan was boosted by better-than expected inflation data for June, released by the National Bureau of Statistics earlier in the day. The Producer Price Index (PPI) fell by 3% year-on-year, and the Consumer Price Index (CPI) dropped 0.1% month-on-month.

The pair gained 0.09% to 0.6988 and the pair was up 0.20% to 0.6587.

Meanwhile, the pair gained 0.17% to 1.2630.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





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Oil Down With COVID-19 Continuing to Dampen Demand By Investing.com



© Reuters.

By Bryan Wong

Investing.com- Oil was down on Thursday morning in Asia, with ever-increasing numbers of COVID-19 cases continuing to hinder investor confidence in the global economic recovery.

dropped 0.12% to $43.23 by 11:51 PM ET (4:51 AM GMT) while slid 0.20% to $40.82.

“The market is struggling to get strong conviction to the upside at the current point in time,” Lachlan Shaw, head of commodity research at National Australia Bank (OTC:) told Reuters.

“There’s mixed evidence on demand.”

The U.S. Energy Information Administration (EIA) recorded a 5.654-million-barrel , considerably more than the 3.114-million-barrel draw forecasted. The surprise build prompted OPEC+ to press on over-producers such as Iraq and Nigeria, to improve their compliance with supply curbs.

Globally, the pandemic continues to hinder oil demand from some of the biggest oil consumers. The number of cases in the U.S. surpassed 3 million as of July 9. India also saw its biggest single-day spike on Wednesday, with over 25,000 new cases, according to Johns Hopkins University data.

There is also new evidence suggesting the possibility of the COVID-19 pandemic taking a turn for the worse. The World Health Organization (WHO) has acknowledged the possibility of airborne transmission of the COVID-19 virus. This could mean that the virus could create a new wave of infections that is far more difficult to control.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.