Commodities are mixed in the early hours. After rising for four consecutive trading weeks, crude oil started this week on a weaker note by falling on Monday. In the early hours on October 3, crude oil is stable at two-week low price levels.
There are supply concerns amid tensions in Iraqi and Kurdistan. Turkey warned that it would close the export pipeline, which supported the market last week. Encouraging signs of market rebalancing and lower inventory levels extended support to crude oil prices. The prices pulled back on Monday amid the closing of large bullish positions for profit-booking. The market is looking forward to the release of weekly crude oil inventory data by the American Petroleum Institute at 4:35 PM EST today.
At 7:25 AM EST on October 3, the West Texas Intermediate crude oil futures contracts for November 2017 delivery were trading at $50.48 per barrel—a gain of ~0.04%. The Brent crude oil futures contracts for December 2017 delivery fell 0.12% and traded at $56.02 per barrel. The SPDR S&P Oil & Gas Exploration & Production ETF (XOP) closed at $34.29 after rising 0.59% on October 2.
After breaking the three-week losing streak last week, copper started this week on a stable note. China’s supporting manufacturing PMI data added strength to copper prices. China’s improved market outlook also supported copper prices.
Gold (GLD) and silver (SLW) are weak in the early hours on Tuesday amid the improved global market sentiment. Wall Street’s strong performance overnight and the increased risk appetite weighed on precious metals. Platinum and palladium are stable in the early hours on October 3.