Asia - Commodities Fundamental Forecast | 15 December 2023
  • 15 December, 2023 Rajesh Tatineni

Asia - Commodities Fundamental Forecast | 15 December 2023

Gold (XAU)

Key news events today

Composite PMI (2:45 pm GMT)

What can we expect from Gold today?

The Composite PMI has expanded over the past ten months in the US and the flash reading for December points to a relatively unchanged figure from the previous month’s print of 50.7. New orders – which signal future demand – returned to growth in November so we can expect the private sector to remain in expansion, albeit at a marginal rate. A stronger-than-expected PMI reading could trigger renewed demand for the US dollar and potentially create downward pressures on gold prices during the US session.

Next 24 Hours Bias

Weak Bearish

 

Oil

Key news events today

China Industrial Production (2:00 am GMT)

What can we expect from Oil today?

Industrial production in China has picked up steadily since the middle of this year and November’s forecast of 5.7% YoY points to the biggest rise since April. Higher production figures out of China could potentially signal higher demand for crude oil in the manufacturing sector and thus provide a bullish catalyst for oil prices. WTI oil climbed above $72.50 per barrel overnight and was trading around $72.10 as Asian markets came online.

Next 24 Hours Bias

Medium Bullish