(XAUUSD) Gold Prices Remain Stable Despite Hawkish Fed, EU Regains Control Of Their NGAS Supplies, Cotton Futures Prices| FXMAG.COM

Summary:

The EU refills their NGAS stockpiles, driving the price of NGAS Futures down.
Cotton Prices falling despite concerns around supply.
Gold Prices remain surprisingly stable despite interest rate hikes

Natural Gas Futures Prices Drop

Towards the end of last week the price of Natural Gas soared, however tumbled around 13% during the trading day on Monday as a change in output and expected demand occurred as a result of the changing weather forecast. In addition the EU gas pipes were reported to be filling as gas piles into the pipes from Russian Sources which caused EU prices to stabilise. The change in the price is likely to continue in the short term thanks to the fundamental factors mentioned above, however with the EU’s recent oil embargo, whether or not this downward trend will continue is unlikely.

It is also important to note that the stock market experienced a sour trading day on monday, causing prices across all markets to fall.

(XAUUSD) Gold Prices Remain Stable Despite Hawkish Fed, EU Regains Control Of Their NGAS Supplies, Cotton Futures Prices - 1

NGAS Jun ‘22 Futures Price Chart

Cotton futures tank.

Cotton futures saw a price dip during last week's trading week and earlier this week, however, prices seemed to have gained slightly on Tuesday. The price fall on Monday followed the trend of the wider global market which experienced a sour trading day on Monday. Prices are still soaring at high levels, due to the concerns around supply without wavering demand, and the possibility of an export ban by India is causing unrest around the commodity.

(XAUUSD) Gold Prices Remain Stable Despite Hawkish Fed, EU Regains Control Of Their NGAS Supplies, Cotton Futures Prices - 2

Cotton Jul ‘22 Futures Price Chart

Gold Futures remaining surprisingly stable (XAUUSD)

Along with the rest of the global market, the price of gold dropped during the trading day on Monday. In addition the price of gold has been declining over the past days, this comes as the Fed grows more hawkish in their fight against inflation. The decline is not as sharp as market participants expected, this could be because investors are hedging their bets as the market awaits the U.S CPI report due on Wednesday.

(XAUUSD) Gold Prices Remain Stable Despite Hawkish Fed, EU Regains Control Of Their NGAS Supplies, Cotton Futures Prices - 3