#forexbreakfast focus commodity (eng)
After a quite bad start, the Bloomberg Commodity Index ended the week up 1.3%. The worst sector of the week was precious metals, which has lost 1.1%. Bad gold. Silver -2.2%, platinum -4.3%. Better the palladium, up by 1%. The best sector of the week has been the energy sector + 3.3%. The energy sector hasn’t been droving by oil, but by the sharp rise in US natural gas + 10%. Oil + 1%, demand remains strong even if the context remains uncertain due to the infections caused by the delta variant. Good week for the industrial sector + 0.8%. On July 29, China will carry out the sale of the second tranche of its reserves; the amount is higher than the first, still judged low by the markets. Nickel + 1.6%. Good week also for the agricultural sector + 0.5%. Driving the sector into the positive territory has been above all the rise in Arabica coffee + 17.1%. Instead, he took profits on wheat -1.2%, soybeans -2.9%, and corn -1.6%.
Last week, Brent prices tested the short bearish trendline at 67.83, before bouncing back above 70$/b. On the upside, the first resistance is at 75.69. Overcoming it would be the first sign of strength.
The prices have remained around the 1800 area, with the support at 1791 that has driven back the downward pressures. At the moment, prices are still in the triangle indicated the previous week. Only the break of one of the two sides can give rise to a more marked movement. On the upside, the first resistances are at 1835, and 1890 is on the top of the triangle. The lower part of the triangle instead passes to 1750.
After a drop at the beginning of the week, prices have recovered. While remaining below 9629, the prices broke up the bearish trendline started in May. On the downside, only the break of the support at 8893 could give rise to a more marked bearish movement.