Oil Higher, Gold Skyrockets

Published 11/11/2022, 03:58 AM
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Crude prices were heavy early as concerns grew over China’s COVID situation. ​Energy traders were quick to jump back on the oil trade after a cool inflation report brought hopes back to life that the US economy could still have a soft landing. ​

The inflation report showed fuel oil prices surged 19.8% before the cold weather arrives. ​The oil market is going to remain very tight this winter and that should keep oil prices heading higher. ​

Gold surges as US inflation dips

Gold prices are surging after a cool inflation report has made markets confident that the Fed can downshift to a half-point-rate-hiking pace and possibly be done with tightening after the March FOMC meeting. ​It looks like the dollar died today and chaos in crypto has made good ol’ gold very attractive again. ​

Gold is breaking out here and it could have a steady path towards the $1800 level if dollar weakness remains.

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