After trading with a weakness for three weeks, crude oil started this week on a stronger note and gained in the first three trading days of the week. On June 14, crude oil started the day on a stable note. Crude oil was trading above opening prices in the early hours.
Crude oil is trading with mixed sentiment in the early hours on June 14 amid a rise in US crude oil production and a drop in inventory levels. According to the EIA (U.S. Energy Information Administration), US crude oil production increased to record levels of 10.9 million barrels per day in the past week. The increased production slowed crude oil prices’ upward momentum. Crude oil prices rallied in the past three days. According to the EIA, US crude oil inventories declined by 4.143 MMbbls (million barrels), which was better than the market’s forecast of a drop by 1.44 MMbbls.
The market expects OPEC and non-OPEC producers to propose a gradual increase in crude oil output in oil producers’ meeting on June 22. At 6:15 AM EST on June 14, the WTI crude oil futures for July delivery were trading at $66.84 per barrel—a gain of 0.32%. The Brent crude oil futures for August delivery fell 0.2% and were trading at $76.56 per barrel. The SPDR S&P Oil & Gas Exploration & Production ETF (XOP) closed at $42.16 after declining 0.04% on Wednesday.
Copper regained strength on Wednesday and broke the two-day losing streak. However, copper lost strength on Thursday amid the release of China’s weaker-than-expected industrial production data. Since China is the biggest copper consumer, the country’s industrial production, construction, and factory data could influence copper’s demand and price trends. The SPDR S&P Metals and Mining ETF (XME) fell 0.89% and closed at $37.96 on Wednesday.
Gold and silver are strong in the early hours on June 14. The pullback of the US dollar and weakness in the global market sentiment amid US-China trade war concerns supported gold prices in the early hours on Thursday. The SPDR Gold Shares (GLD) gained 0.3% and closed at $123.19 on Wednesday. Platinum and palladium are strong in the early hours on June 14.