Comex Gold Signal
INTERNATIONAL COMEX NEWS
- OPEC expects supplies from its rivals to increase by the most in five years in 2019, with extra oil from the U.S. alone sufficient to meet the growth in global demand. In its first detailed outlook for 2019, the Organization of Petroleum Exporting Countries indicated that the North American oil boom means OPEC members are already producing enough crude to cover what will be needed from them.
- Copper prices fell sharply on Wednesday, hitting one-year lows amid a wider selloff in industrial metals sparked by fears that a second round of U.S. tariffs on Chinese imports could hit demand for metals, particularly if Chinese growth is affected. Copper futures for September delivery were down 2.98% to $2.753 a pound by 04:51 AM ET (08:51 AM GMT) after falling as low as $2.717 overnight, the weakest since July 19, 2017.
- West Texas Intermediate oil extended losses in North American trade on Wednesday, as data showed that oil supplies in the U.S. fell more than expected. Crude oil for August delivery on the New York Mercantile Exchange fell 1.16% to trade at $73.25 a barrel by 10:50 AM ET (2:50GMT) compared to $73.22 ahead of the report. The U.S. Energy Information Administration said in its weekly report that crude oil inventories fell by 12.633 million barrels in the week ended July 6.
- China accused the United States of bullying and warned it would hit back after the Trump administration raised the stakes in their trade dispute, threatening 10 percent tariffs on $200 billion of Chinese goods. China’s commerce ministry said on Wednesday it was “shocked” and would complain to the World Trade Organisation, but did not immediately say how it would retaliate. In a statement, it called the U.S. actions “completely unacceptable”.
- The tit-for-tat tariffs imposed by Canada and the United States will trim Canadian exports and imports by 0.6 percent and boost inflation by about 0.1 percentage point, the Bank of Canada said on Wednesday. The tariffs, along with related uncertainty about U.S. trade policy that hangs over Canada’s export-driven economy, will subtract about 2/3 percent from GDP by the end of 2020, the central bank said in its quarterly monetary policy report.
- British trade minister Liam Fox said on Wednesday he did not believe that Britain’s new Brexit strategy would inhibit its ability to agree trade deals with countries around the world, after two cabinet colleagues resigned over the policy. Former Foreign Secretary Boris Johnson and Brexit minister David Davis quit at the start of this week in protest over the strategy. Johnson said the plan would make it much more difficult to do trade deals.