Commodities: Crude oil and gold is at risk

Gold price technical analysis 30 - May, 2013

The lights come on monetary policy announcement of the Fed, as kidnap fears surrounding the global economic growth, attention of anxiety surrounding the emergence of a sudden collapse in the euro area following the victory of parties supporting the rescue in the Greek general elections that took place during the weekend. At the time expected to slip into Europe within the cycle of stagnation under test Asia slower pace of growth since 2009 (according to the survey conducted by Bloomberg News, which covered a number of economists), Traders are looking to the United States contribution to the budget of the status quo.

With the approach of the U.S. Treasury bond yields from Agaya historical hypothesis is unlikely to promote crystallization of the Federal Reserve significantly to the lending process. In the meantime, Ben Bernanke stated clearly that “it is extremely foolhardy Search for recovery of economic activities at the expense of rising inflation.

However, the recorded data U.S. economic performance has been disappointing in the past two months, a sign that the renewal process Twist – approach applied since last September and was intended to reduce the cost of borrowing long-term – or possibly extend the time limit that maintained by including the politicians to keep rates low is considered as an appropriate strategy.

In general, this is a policy to maintain the current due to the end of the time frame for the twist this month. At a time when markets are looking at what it pleases, it is likely to disappoint the expectations of investors and fueling risk aversion, is weighing on copper prices and crude oil-correlated growth. The presence of gold and silver at bay amid the low demands on the precious metals as a means to hedge against the depreciation of paper money.