Crude Oil was one of the only commodities that showed weakness yesterday in trading. Perhaps Geo-Risk Premium is coming out Crude Oil as Syria’s and Iran’s hostile environment is calming down a little and Crude Speculators are taking profits now and not before the next big Crude Sell off. Gold is approaching $1,700/oz after yesterday’s Bernanke hints at the new “QE” and today’s urging by the OECD to increase the Euro-zones ‘firewall’ by another $1.3 trillion. Gold is above 200 day moving average (simple) at $1,687/oz after yesterday’s biggest daily gain since January 2012. The gains came after Ben Bernanke warned investors of the risks to the fragile US economic recovery and signalled the Fed would keep interest rates low – aka buy gold for an inflation hedge.
Economic Events:
US Consumer Confidence (Mar).
S&P Case Shiller Home Price Index (Jan).
Turkey CB Meeting and Hungary CB Meeting.
Ben Bernanke Lecture
Italian Bond Auction (2/10yr)