After a sharp uptrend Oil is trying to resist and the green color dominates the American and Asian markets

2021-08-24T18:41:08
American and Asian markets Goldman Sachs Oil is trying to resist Positive results
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After a sharp uptrend Oil is trying to resist and the green color dominates the American and Asian markets

After a sharp uptrend Oil is trying to resist and the green color dominates the American and Asian markets:

And after a positive trading session yesterday, oil is trying to hold on to the new levels amid the same pressures that have affected it over the past months. 

Evest follows the latest trading developments in the stock market, including oil and gold, in addition to the American and Asian markets. 

 

 

Oil is stable after yesterday’s sharp rally session

Oil prices on the New York Fuel Exchange rose on Tuesday – after rising 5.6٪ on Monday, but the recovery may not last long. 

According to investors, over the past decade, the last four months of the year have not been favorable to West Texas Intermediate crude prices.

The price of West Texas Intermediate crude oil barrel for October delivery on the New York Fuel Exchange is $65.78, up 0.26 percent.

The cost of Brent crude for October delivery on the European Fuel Exchange in London is $68.97 a barrel, up 0.32%.

Yesterday, the price of the North Sea oil barrel closed October delivery at $68.75 in London, while in New York,
the price of the West Texas Intermediate crude barrel for October also, which was the first day to be used as a benchmark, rose to $65.64.

Analysts suggest that the seasonal factor may work against rising oil prices.

In the past 10 years, the last four months of the year have not been favorable to West Texas Intermediate ore on the NYMEX Stock Exchange.

In this regard, October was the worst – an average of 2.2% lower oil prices, while December was the best – with the price of oil falling by only 0.2%.

Bloomberg Intelligence experts do not rule out that US oil could take a “path” towards $50 per barrel.

Medium-term forecasts for oil and its products demand are particularly disturbed by the spread of the Delta type of coronavirus.

While mainland Chinese authorities did not report a single new local case of coronavirus on Monday for the first time since July,
suggesting that the outbreak of the dangerous Delta variant may have already been quelled,
the coronary virus is hitting other parts of the world, necessitating renewed movement restrictions.

Reuters analysts

According to Reuters analysts: “The market has some solace in the fact that China is likely to control the latest wave of the Covid-19 pandemic.”

The latest data from Baidu shows that the level of “congestion” in large cities in China is increasing.

Currently, however, air travel remains at a lower level, below the level of mid-July, as the BNEF report indicates.

India

In India, oil imports in July rose by 21.8% on an annual basis and reached 15.0 million tons,
which could help ease concerns about the demand.

However, the current situation in the fuel markets may lead OPEC + countries to reassess the plan to supply additional barrels of oil to markets each month.

The Oil Producers Group will meet at the next meeting on September 1st.

Goldman Sachs analysts

Goldman Sachs analysts estimate that the impact of the Coronavirus Delta variant on crude oil and oil demand may be temporary,
while UBS Group experts do not rule out increasing Brent crude prices to $75 per barrel.

Crude oil prices recovered significantly on Monday after seven consecutive sessions of decline,
supported by cheap buying without any new market momentum.

West Texas Intermediate Oil on the NYMEX Stock Exchange rose 5.6%.

It was West Texas Intermediate’s first bullish session in 8 days – the longest set of consecutive declines since October 2019.

Brent crude on the Intercontinental Stock Exchange rose 5.5 percent at the end of the previous trading day. 

The decline in the dollar, which reached a 10-month high against the euro last week, also supported oil prices. 

Gold is stable

After a good session yesterday, where gold rose by 1.36%,
yellow metal-stabilized this morning in the European session.

The price of gold stabilized on Tuesday morning, with the most traded gold futures on December delivery falling by 1.90 to $1804.40 per ounce.

US stock indices end volatility and rise at the beginning of the week

US stock indices rose on Monday from a volatile last week.

This week’s focus is on the annual economic symposium at Jackson Hole, where Fed Chairman Jerome Powell will speak.

Investors will be waiting for hints about when the US Central Bank will begin scaling back the asset buyback program. 

The seminar will be held on August 26-28.

In addition to Powell, representatives of central banks and finance ministries in various countries,
scholars and representatives of the banking and business sector will attend.

Statistics released on Monday indicated an unexpected rise in US home resale last month. 

Sales of existing homes in the United States rose by 2% in July to 5.99 million at an annual rate,
according to a report by the National Association of Realtors (NAR). 

According to updated data, in June, resale was 5.87 million (up 1.6%), not 5.86 million (up 1.4%), as previously announced. 

Analysts were surprised by these findings.

Experts, on average, had predicted a decline of 0.7% from the level announced in June to 5.82 million, according to Trading Economics. 

MarketWatch participants predicted a decline of 0.5% to 5.83 million, and resales increased 1.5% compared to July of last year.

Positive results in Tuesday’s Asian trading

The Asian and Pacific countries’ stock indices rose during Tuesday’s trading after the rise in the US stock market. 

Japan’s Nikkei 225 index rose 0.83% in trading.

China’s Shanghai Composite Index rose by 1.03%, and Hong Kong’s Hang Seng Index – 1.6%. 

South Korea’s Kospi Index rose by 0.92%.

While the Australian S&P/ASX 200 index rose by 0.13%.

Asian markets were supported, among other things, by the announcement of full approval by the US Food and Drug Administration (FDA)
to use the Pfizer Bionic Covid-19 vaccine for people over 16 years of age. 

This is the first full approval for the use of the Covid-19 vaccine in the United States.

Prior to that, it was only a 2020 permit for emergency vaccine use, and opponents of compulsory vaccination referred
to this fact as a reason not to require vaccination.

More business and political organizations are now expected to require staff vaccinations.

 

After a sharp uptrend Oil is trying to resist and the green color dominates the American and Asian markets

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