Oil prices fell on Monday, as investors await interest rate hikes by the US and European central banks. Despite this, tight supply and hopes for economic stimulus from China remained supportive of Brent Crude at $80 a barrel.
By 07:20 GMT, Brent crude futures fell by 0.7%, to $80.33 a barrel, while West Texas Intermediate crude futures fell by the same percentage, to $76.53 a barrel.
Over the past week, the prices of the two crude oil rose by 1.5% and 2.2%, respectively, marking the fourth consecutive week of gains, due to expectations of a decrease in supply due to the “OPEC Plus” cuts.
On the other hand, investors are carefully watching the statements of US Federal Reserve Chairman Jerome Powell and European Central Bank President Christine Lagarde, as interest rates are expected to be raised by a quarter of a percentage point this week.
The concerned parties are also anticipating China to take stimulus measures to support its economy, which may lead to an increase in oil demand in the world’s second largest oil consumer.
OPEC says its moves to support the oil market are sufficient for now, and it is ready to take further steps as necessary.
Today, gold prices witnessed a slight increase in the metals market, as traders await the US Central Bank meeting that will be held this week.
And by 07:25 GMT, gold rose in spot transactions by 0.2%, to reach $ 1965 an ounce, while US gold futures contracts settled relatively at $ 1966.45.
The dollar index fell slightly but is still close to its highest level in more than a week, which was recorded on July 20, which slightly offset the rise in gold prices. The rise of the dollar is a factor that makes the yellow metal more expensive for holders of other currencies.
Gold is a metal that is very sensitive to rising interest rates, as this increases the opportunity cost of holding non-yielding bullion.
in relation to other minerals
Silver recorded a rise of 0.1% in spot transactions, to reach $24.6 an ounce.
As for platinum, it witnessed a decline of 0.1% to reach $960.78.
As for palladium, it fell by the same rate, reaching $1289.51.
