Silver Rebounds Towards $24 As Dollar Declines

Key Insights

• WTI oil settled near the $78 level after the EIA report. 
• Warm weather puts pressure on natural gas markets. 
• Platinum moved above the $1050 level. 

WTI Oil Tries To Settle Back Above $78

WTI oil moved back towards the $78 level after the release of the EIA Weekly Petroleum Status Report. The report indicated that crude inventories increased by 0.7 million barrels from the previous week, compared to analyst consensus, which called for a decline of 1.5 million.

Total motor gasoline inventories declined by 3.1 million barrels, while distillate fuel inventories grew by 0.3 million barrels. Domestic oil production decreased by almost 0.2 million barrels, which served as a bullish catalyst for WTI oil.

Natural Gas Remains Under Pressure As Traders Focus On Warm Weather

Natural gas  slipped below the $4.50 level as traders reacted to the EIA Weekly Natural Gas Storage Report. The report showed that working gas in storage declined by 213 Bcf from the previous week, compared to analyst consensus of -201 Bcf.

The report did not serve as a bullish catalyst for natural gas markets as traders focused on current weather, which is expected to be extremely warm in the upcoming days.

Silver Rebounds After Yesterday’s Sell-Off

Silver  found support near $23.50 and moved back towards the $24.00 level as the U.S. dollar declined against a broad basket of currencies. In case silver manages to settle above the $24.00 level, it will head towards the resistance at the recent highs at $24.30.

Other precious metals are also moving higher today. Gold is testing the $1815 level. If this test is successful, gold will move towards the next resistance level at $1830.

Meanwhile, platinum managed to get above the $1050 level, while palladium rebounded towards $1800.

Copper Is Losing Ground Amid Worries About COVID Situation In China

Copper is moving towards the $3.80 level as traders remain worried about rising coronavirus cases in China. The recent attempt to settle above the $3.90 level was not successful, and it looks that copper markets need additional positive catalysts to gain upside momentum.

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