Gold price and Brent crude oil price reverse after US tariffs announcement
Gold and Brent reverse, with a delay to the US-China tariffs bringing gold weakness and Brent strength.
Gold stabilises after yesterday's volatility
Gold saw sharp losses off the back of the news that the US has delayed much of the tariffs planned for 1 September, sparking a risk-on move. We have since seen prices stabilise in a position that would previously be deemed a retracement level.
However, we did see a fleeting lower low yesterday in all that volatility, thus raising the chance of a bearish phase coming into play. Thus, for the time being, it is a case of waiting to see if we can essentially ignore that move to start regaining ground within the recent uptrend, or else break back below that low of $1480 to bring a bearish picture for the near term.
Brent crude easing back after sharp gains
Brent rose sharply yesterday, bringing what looks like another retracement phase within the bearish trend of the past month.
With the price having posted a medium-size retracement, there is still grounds to believe we could see further upside in the short term. Much will come down to whether we see this selling ramp up. For now, given the shallow nature of these declines, they look like a precursor to further upside. Should that occur, it would simply take us into the deeper 61.8% or 76.4% Fibonacci retracement levels. Ultimately, the wider bearish outlook remains in play unless we see a break above $65.42.
The information on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG Bank S.A. accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer.
React to volatility on commodity markets
Trade commodity futures, as well as 27 commodity markets with no fixed expiries.
- Wide range of popular and niche metals, energies and softs
- Spreads from 0.3 pts on Spot Gold, 2 pts on Spot Silver and 2.8 pts on Oil
- View continuous charting, backdated for up to five years
See opportunity on a commodity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See opportunity on a commodity?
Don’t miss your chance. Upgrade to a live account to take advantage.
- Analyse and deal seamlessly on fast, intuitive charts
- Get spreads from just 0.3 points on Spot Gold
- See and react to breaking news in-platform
See opportunity on a commodity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
