Oil
Crude prices were unfazed after the EIA crude oil inventory report posted the biggest build since March 2021. Overall, the EIA report was mixed as the massive build was offset by improving gasoline and jet fuel demand, while US production remained steady. Oil prices are looking very comfortable above the USD 100 level as US and Chinese demand seems to be heading in the right direction.
Gold extends rally, closes in on USD 2000
Gold is knocking on the USD 2000 door and it looks like it might burst through it if traders continue to decrease their aggressive Fed tightening bets. The inflation story is setting up for a few months of stubbornly high prices that will lead to inflation hedges and safe-haven bets for bullion. This earnings season will likely be filled with a wrath of cautious commentary and that could be the catalyst that keeps stocks grounded, which is good news for gold.
