Predictions on Gold, Crude Oil and Natural Gas: New Psychological Resistance of 2,000 Dollars for Go

Last week oil market closed once again with no major news, continuing to fluctuate below $45 a barrel despite production cuts.

According to reports from Reuters, some OPEC+ members should have made cuts in the excess part of overall production. This is the case of Iraq and Nigeria and in some ways also of the United Arab Emirates, despite the effort shown in last month.

Now, the purpose of OPEC+ is to stabilize oil prices by enforcing production cuts while waiting for an appreciable increase in demand. All this happened under the background that coronavirus infections are increasing worldwide and the total lockdown seems to occur again.

Gold, on the other hand, ended the week around 1,940 dollars an ounce, with a decent recovery after the collapse earlier this month. The performance of silver also remained good, which was close to $27, with an increase of over 18% in the last 30 days.

In the week that opens today, it will be essential to observe the movements of the gold market so as to catch possible signs of breaking the new threshold of psychological resistance of 2,000 dollars. Once this value is exceeded, gold could continue to grow by exploiting the weakness of the dollar.

As for natural gas, the latest US inventories report has pushed the spot price lower, despite the persistent signs of increasing LNG demand. Currently, the price of natural gas is $2.417 per barrel and the withdrawal of up to $2.36 is probable considering the weather forecast for the immediate future.

There are less exciting prospects for oil, which is also closely linked to the trend of the dollar. Currently, WTI is traded at $42.38 a barrel, while Brent at $44.44.