Oil prices and initial commodities rise with the support of shrinking trading tension

Oil prices and most other primary commodities have risen, while gold has dropped, after China and the United States have reduced the intensity of commercial tensions that threaten to reduce the demand for raw materials. Brent oil rose 1.6% to settle at $ 64.96 a barrel, and the West Texas were 1.5% to close at $ 61.95 a barrel in New York, while buyer rose 0.8%. European natural gas, soybeans and iron ore also recorded profits, and shares of large mining companies jumped. The temporary calm between the two largest economies in the world was an outlet for the markets of goods disturbed by customs duties that have weakened the expectations of the global economy growth in recent weeks. The oil market monitors have previously reduced their claims, while the trade war begins to show indications of the low amount of goods received to the United States. Agreement on a mechanism to continue with the discussions that China will reduce customs duties on US goods to 10% from 125%, while the United States will reduce its restrictions to 30% of 145%, according to a temporary agreement of 90 days. At a press conference after the talks, US Treasury Secretary Scott Besent said that none of the two countries want economic separation between them. The two parties announced that they would place a mechanism to continue with the discussions on economic and commercial relationships. “The oil market has been driven with a wave of ease, but the damage has already asked in the short term,” said John Kidaf, the founding partner from behind Capital LLC. However, he pointed out that the decrease in the intensity of the trade war was removed from $ 3 to 5 from the drop in the market, which made the new minimum price approach $ 60 a barrel. The prices are still low as President Donald Trump announced for the first time which “mutual fees” remained in early April the prices of goods. Despite the recent recovery, oil prices have since been more than 10% low, in the light of the market to increase in the supplies of the “OPEC+” alliance. Although commodity advisors are still largely bet on the decline in oil, they have begun to abandon their maximum phased positions. According to data from ‘Bridgeton Research Group’, the boxes, which could accelerate the price momentum, filtered the open selling centers up to 82% in both the ‘West Texas’ and ‘Brent’ Monday, a 91% decline on May 9. Oil prices have abandoned part of its daily profits after Trump has a positive progress in the core talks that took place on Sunday. Iranian oil exports in the near future. Traders also focus on Trump’s first external visits to the Middle East, where Saudi Arabia, the chief commander of “OPEC+”, will be the first station. Corporate shares will restore the shares of the largest mining companies, including “Glencore PLC” and “Rio Tinto PLC”, was one of the best performance in European stock markets. The shares of energy companies such as “Exxon Mobil Corp.” and “Chevron Corp”. As for the copper prices, which dropped severely after the first announcement of the fees, it has recovered with indications that the demand in China is currently steadfast. However, the high prices came more slowly than the rate of oil profits, in the light of the investors warning against the ongoing commercial manure. “There are still questions about what the end will be, as the procedures will only be valid for 90 days, and the final fees level is still unknown,” says Eva Manethi, the NV commodity strategy group. “Although these new drawings are less than expected, they are still great and can continue to push the question of raw materials,” she added. Gold prices have dropped in agricultural markets, so the soybeans in Chicago have continued their profits at the highest level since February. China is the largest buyer of soybeans in the world, and the commercial calm can contribute to the resumption of crop flow. On the other hand, gold has decreased with a decrease in demand for safe haven assets. The decline was exacerbated by a calm in military action between India and Pakistan, after the four -day battle of the two nuclear weapons pushed to the comprehensive war. The shares of the large gold producers fell into the metal after the decline. The Newmont Corp., Parrick Mining Corp. and Agnico Eagle Mines Ltd. – The three largest gold mines – dropped by more than 6% in New York. The shares of businesses selling battery systems that depend on Chinese cells have risen. Fleece Energy Inc. jumped by 23%, while Sunun Inc. “Sanren” announced last week that the customs duties chain, which is set, could contribute between 100 and 200 million to extra costs.