Crude oil prices witnessed a speculative upside move yesterday. It jumped 6.66%, headed for its biggest daily rise in nearly a year after OPEC+ jolted markets with plans to cut more production.
Brent crude was up 7.03%, at $79.73 a barrel after touching its highest since March 7 at $79.89. West Texas Intermediate crude U.S. was up 9.32%, at $75.65 a barrel, after hitting its highest since late January. MCX Crude jumped towards 6655, the highest levels since late March.
The Organization of the Petroleum Exporting Countries and allies including Russia, a group collectively known as OPEC+, shook markets with Sunday’s announcement that it is cutting its production target by a further 1.16 million barrels per day (bpd).
Gold rose by 0.67%, and settled at 60014 and Silver prices settled with a minor loss of 0.19% at 72080. Base metals remained somewhat mixed. Aluminum prices settled with a minor loss of 0.29%. It made a day’s high of 212, before closing at 209.50. Zinc prices settled almost flat at 256.05% while Lead gained 0.06%. Copper prices retreated from the day’s high 782.5 and settled down by 0.38%, at 776.60
Dollar index settled down by 0.53% at 102.048. USDINR retreated from 82.4550 and settled at 82.1600. Euro gained 0.58% and Pound gained 0.73% against the US dollar.
Important Economic Data and Events
Canada
At 6.00pm – Canada Building Permits m/m data due to be released. Forecast is to have expanded by 2.2% from contraction by -4.00% in last month.
Data could have a positive impact on Base metals.
US
At 6:00 pm – JOLTS Job Openings with forecast to have a contraction by 10.49M from 10.82M.
At same time, Factory Orders m/m with forecast to have recovered by -0.4% from contraction of -1.6%.
Both data will have a slightly negative impact on the dollar.
At 11.00pm – FOMC Member Cook Speaks will have a volatile impact on the dollar.