FX.co ★ Crude oil and gold review for 2010/07/09

Crude oil
Crude oil futures rose according trading results on Friday, having finished with this advance the most significant weekly growth since May.
The market attention was focused on the US oil inventories and more positive economic reports. This week, traders will watch earnings reports as the resource of signals of the economy and oil demand prospects.
Following New-York commodity exchange trading results, August light sweet crude oil futures increased by 65 cents, or by 0.9%, to $76.09/barrel. Brent futures were trading higher by 72 cents, $75.43/barrel.
During the week oil futures went up by 5.5%, having leveled off partly the drop of the prior week. Crude oil became cheaper by 8% that time. It was provoked by the series of economic reports, which did not match the expectations and caused the worries about the economy recovery pace. The unexpected shrink of oil inventories, which was announced on Thursday, sustained price growth. However, threat of demand decline, which was indicated by gasoline price growth, made traders to wait for more evident signals concerning crude oil prices.

Gold
On Friday’s deals, investors again opened the earlier sold gold positions, trying to take advantage of the recent price fall to the levels, which was considered as profitable by some speculators.
The most actively traded August gold futures by the end of the session rose by $13.70, or by 1.1%, to $1209.80/ounce. Compared to the previous week closing level the quotations almost did not change. The metal prices reached record levels in May and June, when traders wanted to get insured from potential consequences of the Eurozone sovereign debt crisis. Investors also purchased this metal as safe-haven currency amid the US disappointing economic data and the fears of the global economy recovery slowing. Last month, gold futures hit the record high of $1266.50.
Since then, the prices slightly edged down as the worries weakened. August contract price fell to $1185 on Wednesday, the lowest level for more than a month.