Brent Crude Oil Prices At 5 Week Lows, Silver Prices Affected By Aggressive Monetary Policy, New Concerns Around Corn Supplies

Analysis Of Situation Of Crude Oil Futures And WTI

Summary:

  • The international oil benchmark fell around 6% on Friday.
  • Silver fell below the $22 per-ounce mark on Friday, closing at its lowest level since June 2020.
  • Failed negotiations between Russia and the Ukraine.

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Brent Crude Oil prices remain supported

Brent Crude Oil prices fell to almost 5 week lows on Monday amidst concerns around slowing global economic growth and fuel demand which outweighed expectations of higher near-term consumption and ongoing supply issues. The international oil benchmark fell around 6% on Friday amidst concerns of global economic fallouts from higher interest rates shook financial markets.

U.S Energy Secretary Jennifer Granholm warned markets of a “continued upward pull on demand” over the weekend, and of the likelihood of high gasoline prices continuing. Crude prices have been supported by the war in the Ukraine, civil unrest in Libya and OPEC’s failure to pump more oil.

Brent Crude Oil Prices At 5 Week Lows, Silver Prices Affected By Aggressive Monetary Policy, New Concerns Around Corn Supplies - 1 Brent Crude Oil Price Chart

Silver prices close below $22 per-ounce

Silver fell below the $22 per-ounce mark on Friday, closing at its lowest level since June 2020, in the wake of bets of more aggressive monetary policy tightening by central banks steered investors away from the non-yield metal.

Brent Crude Oil Prices At 5 Week Lows, Silver Prices Affected By Aggressive Monetary Policy, New Concerns Around Corn Supplies - 2 Silver Jul ‘22 Futures Price Chart

Corn prices rising amidst new concerns around supply

Corn prices rose to 4 week highs in mid-June amidst new concerns around grain supplies. Talks between Russia and the Ukraine, two of the largest grain exporters, around resuming Ukrainian exports failed, despite Turkish efforts to negotiate a safe corridor for the grain stuck at Black Sea ports. Meanwhile, Brazil and Beijing reached an agreement after years of negotiation to start corn exports from Brazil to China.

Brent Crude Oil Prices At 5 Week Lows, Silver Prices Affected By Aggressive Monetary Policy, New Concerns Around Corn Supplies - 3 Corn Dec ‘22 Futures Price Chart

Sources: finance.yahoo.com, tradingeconomics.com

Analysis Of Situation Of Crude Oil Futures And WTI

Rebecca Duthie

Remote Editor and writer Intern
FXMAG.COM

Rebecca has a bachelors degree in Investment Management, a Post Graduate Diploma in Financial Planning and is currently enrolled in a Masters program in International Management with a Specialization in International Finance.