#forexbreakfast focus commodity (eng)
Good week for the Bloomberg commodity index that has closed up 0.6%, thus recording its third consecutive week of growth. All sectors have been positive except for the agriculture one -0.5%. Coffee has gone down -5% after the markets considered the previous hikes to be excessive given the damage to crops in this period. Almost all agricultural commodities have been negative, except for wheat + 2.9%, after a sharp decline in land productivity in North Dakota. The best sector of the week has been the industrial metals + 2.4%, despite the sales of Chinese reserves. To determine the rise were mainly problems related to the offer. Aluminum + 3.7%, copper + 1.9%. Iron fell -0.4%, followed Chinese side continuing to want to cut steel production. Good week for the energy sector + 1%. The rise in Brent has been decisive, benefiting first from a more risk-friendly climate and then from the decline in US inventories. Natural gas in Europe reaches new all-time highs following a supply from Russia that remains limited. Good week also for the precious sector + 0.8%.
The rebound phase of Brent continued, breaking both the resistance at 75.69 and the short-term bearish trendline. To monitor now are the peaks reached this year, in particular area 77.91. The daily stochastic is approaching the overbought area. On the downside, the first support to monitor is that at 70.45.
Last week gold tried to push itself beyond the 1800 threshold but was stopped by the resistance placed at 1835. The indications provided in the previous weeks remain valid; the prices remain confined to a triangle; only the breaking of one of the two sides will give greater direction to gold. On the downside, the supports to monitor are at 1774 and 1706.
Good week for copper, which has broken through the resistance at 9629, but has been stopped by the 10,000 mark. As long as the support at 9300 is not broken, the trend will remain set to the upside. The first resistance to monitor on the upside is placed at 10180, followed by 10525.