Crude higher, gold consolidates


Crude prices are rising after the stockpiles posted a modest gain and a decent improvement with demand. ​ The EIA crude oil inventory report showed that demand for crude oil and gasoline improved, while distillates softened. ​ Crude exports surged 21.6% as shipments abroad reached the highest levels since November. ​ Gasoline prices have not yet been impacted as stockpiles remain elevated, touching the highest levels since March.

Lately, it seems this oil market has a tendency to lean towards a bullish spin after any major oil event. ​ WTI crude should find resistance ahead of the $83.50 level, but if that does not hold, we could see a mini breakout.

If risk appetite continues to take a big hit from the tech-driven selloff, that should also weigh on crude prices.


Gold prices are locked into consolidation mode as traders await to see how the Fed reacts to growing fears of a macro slowdown. ​ Risk aversion is running wild but gold is not breaking because a slowdown will confirm disinflation trends will remain and a recession certainty could lead to rate cuts at the end of the year. ​ Gold might trade between the $1935 and $1960 range until we get to the Fed event.

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Ed Moya

Ed Moya

Senior Market Analyst, The Americas at OANDA
With more than 20 years’ trading experience, Ed Moya is a senior market analyst with OANDA, producing up-to-the-minute intermarket analysis, coverage of geopolitical events, central bank policies and market reaction to corporate news. His particular expertise lies across a wide range of asset classes including FX, commodities, fixed income, stocks and cryptocurrencies. Over the course of his career, Ed has worked with some of the leading forex brokerages, research teams and news departments on Wall Street including Global Forex Trading, FX Solutions and Trading Advantage. Most recently he worked with, where he provided market analysis on economic data and corporate news. Based in New York, Ed is a regular guest on several major financial television networks including CNBC, Bloomberg TV, Yahoo! Finance Live, Fox Business and Sky TV. His views are trusted by the world’s most renowned global newswires including Reuters, Bloomberg and the Associated Press, and he is regularly quoted in leading publications such as MSN, MarketWatch, Forbes, Breitbart, The New York Times and The Wall Street Journal. Ed holds a BA in Economics from Rutgers University.
Ed Moya