As per the latest commodity market news on the way today, the dollar strengthened against its major counterparts as a slew of fresh economic data highlighted the strength of the U.S. economy relative to the United Kingdom and the European Union.
Crude oil plunged over 5% after a flurry of slow economic data from Germany, the euro zone and Britain weighed on the outlook for energy demand. Euro zone business activity data took a surprise downward turn this month, suggesting the bloc may slip into recession.
German readings and latest commodity market news suggested a recession in that country is underway. Britain’s businesses reported another monthly decline in activity, highlighting recession risks ahead of the Bank of England’s interest rate decision next week.
Concerns about weakness in global energy demand are negative for crude prices after Bloomberg reported that ECB President Lagarde told the presidents of the European Commission, the European Council, and the Eurogroup that the Eurozone economy faces stagnation for the next few quarters.
A stronger dollar today is weighing on crude prices. Also, an easing of geopolitical risks in the Middle East is weighing on crude prices as Israel delays an expected ground assault of Gaza. Diplomatic efforts to release hostages taken by Hamas could further delay or even prompt Israel not to invade Gaza, potentially keeping the Israeli-Hamas war contained.
The dollar index which measures the currency against six major counterparts rose 0.61% at 106.2380. MCX Gold future settled at 60599 down 0.23%. Silver at 72075 down 1.14%. Copper prices settled at 697.85 up 0.27%. Crude oil settled at 7132 down 3.18%. Natural gas settled at 243.15 up 0.62% as per the latest commodity market news incoming.
Commodity Market News | Economic data and events scheduled today.
Eurozone
At 1.30pm –
German ifo Business Climate. Previous was at 85.70. Forecast is 85.90.
M3 Money Supply y/y. Previous was at -1.3%. Forecast is -1.7%.
Private Loans y/y. Previous was at 1.0%. Forecast is 1.0%.
At 10.30pm – ECB President Lagarde Speaks.
Above data could have a neutral impact on the Euro.
Canada
At 7.30pm –
BOC Monetary Policy Report.
BOC Rate Statement.
Overnight Rate. Data is foreseen at 5.0% from previous 5.00%.
At 8.30pm- BOC Press Conference.
Above data could have a neutral impact on the Canadian dollar.
U.S.
At 7.30pm- New Home Sales. Data is foreseen at 678k from previous 675k.
At 8.00pm – Crude Oil Inventories. Data is foreseen at -0.5M from previous -4.5M.
Above data could have a volatile to positive impact on the dollar
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