G7 Leaders Discussed A Price Cap On Russian Brent Crude Oil, China Eases Covid-19 Restrictions, Corn Prices Are Trading At 2 Week Lows

Recession Fears Continue To Rattle the Commodity Markets - Brent Crude Oil, Silver Futures Touch 4-week lows, Corn Futures Reach 6-week Highs.

Summary:

  • G7 leaders discussed a price cap on Russian oil.
  • Fears of a recession eased in the wake of China’s easing of lockdown restrictions and testing measures.
  • Recession prospects weighing on demand for corn.

Read next: Rising Interest Rates Are Inhibiting The Demand For Gold And Silver, Concerns Around A Recession Are Driving Brent Crude Oil Prices Down 

Prospects of tighter supply of Brent Crude oil weighed on markets

Brent Crude prices are sitting at around $113 on Monday as recession fears put downward pressure on Brent prices. In addition, traders are monitoring any news from the G7 summit which is taking place in Germany ahead of talks between the US and Iran to revive the nuclear deal made in 2015. G7 leaders discussed a price cap on Russian oil, which will work through the imposition of restrictions on both shipping and insurance and allowing only the transportation of Russian crude and petroleum products that are sold below an agreed threshold. However, the thought of even more supply tightness weighed on the market, with the G7 leaders still determined to find ways to cut Russia's war against Ukraine Funding.

G7 Leaders Discussed A Price Cap On Russian Brent Crude Oil, China Eases Covid-19 Restrictions, Corn Prices Are Trading At 2 Week Lows - 1 Brent Crude Oil Price Chart

Silver prices bounce back

Silver prices bounced back somewhat on Monday as fears of a recession eased in the wake of China’s easing of lockdown restrictions and testing measures. However, silver prices remain under threat from further monetary policy tightening, with both the Federal Reserve and the European Central Bank (ECB) expected to raise interest rates further.

G7 Leaders Discussed A Price Cap On Russian Brent Crude Oil, China Eases Covid-19 Restrictions, Corn Prices Are Trading At 2 Week Lows - 2 Silver Jul ‘22 Futures Prices

Corn Prices at 2 week lows

Corn is trading at 2 week lows on Monday, as favourable weather and weaker demand prospects weighed on prices, temporarily turning the attention away from war disruptions at Black Sea Ports. Fears of demand come from recession prospects.

G7 Leaders Discussed A Price Cap On Russian Brent Crude Oil, China Eases Covid-19 Restrictions, Corn Prices Are Trading At 2 Week Lows - 3 Corn Dec ‘22 Futures Price Chart

Sources: tradingeconomics.com, finance.yahoo.com

Recession Fears Continue To Rattle the Commodity Markets - Brent Crude Oil, Silver Futures Touch 4-week lows, Corn Futures Reach 6-week Highs.

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.