WTI Oil Rebounds From Session Lows

Key Insights

• WTI oil moves higher amid signs of no breakthrough in nuclear deal talks.
• Gold consolidates near the $1750 level ahead of the Jackson Hole Symposium. 
• Copper is under pressure as traders need additional catalysts to push it above the important $3.70 level. 

WTI Oil Is Volatile As Traders React To Nuclear Deal News

WTI oil has moved back to daily highs as U.S. officials confirmed that they sent a response to the Iran nuclear deal proposal but noted that some issues remained unresolved.

Earlier, WTI oil found itself under pressure amid worries about potential progress in nuclear deal negotiations.

Traders will stay focused on this story. However, it looks that the sides have not reached consensus yet, so WTI oil has a decent chance to gain additional upside momentum in the remaining trading sessions of the week.

Natural Gas Markets Are Calm After A Few Days Of Volatile Trading

Natural gas prices have stabilized near the $9.35 level as traders reacted to another delay in the restart of Freeport LNG.

Meanwhile, European natural gas markets tested new highs as problems at Freeport LNG will lead to tighter supply in Europe.

The price of natural gas remains stuck in a wide $9.00 – $10.00 range. Tomorrow, traders will focus on the EIA report, which may serve as a significant catalyst for natural gas markets.

Copper Retreats After An Unsuccessful Test Of The $3.70 Level

Copper moved lower after an unsuccessful test of the key resistance at $3.70. It remains to be seen whether it’s a technical sell-off or a delayed reaction to growing recession worries.

Copper faced strong resistance near the $3.70 level, but its upside trend remains intact. Bulls need to hold copper above the 20 EMA at $3.60 to have another chance to test the key $3.70 level. In case copper declines below the 20 EMA, it may quickly gain significant downside momentum and move towards the $3.50 level.

Palladium Rebounds After Sell-Off

Palladium managed to get back above the $2,000 level as some traders were ready to bet on a rebound after the recent sell-off.

Gold and silver markets were mostly flat. Traders are waiting for the Jackson Hole Symposium, which will have a significant impact on the dynamics of the U.S. dollar and Treasury yields.

Currently, Treasury yields are moving higher, which is bearish for precious metals that pay no interest. However, traders are not ready for big moves and remain cautious ahead of the key event of the week.

For a look at all of today’s economic events, check out our economic calendar.