GOLD
Gold prices declined on Friday, as global equity markets recovered, but the precious metal still scored its best week since late 2008, boosted by a flight to safety. Gold for February delivery on the Comex division of the New York Mercantile Exchange shed $8.40, or 0.67%, to close the week at $1,239.40 a troy ounce. Investors also reacted to comments from New York Fed President William Dudley, in which he said the key components of the U.S. economy remain healthy. Fed Chair Janet Yellen said Wednesday that financial conditions have become less supportive to growth as foreign developments pose risks to the economic outlook, but also maintained that moderate growth at home would justify "gradual adjustments" to the Fed's monetary policy stance.
SILVER
Comex, silver futures for March delivery eased down 0.4 cents, or 0.03%, on Friday to close at $15.79 a troy ounce. On Thursday, silver rose to $15.99, the most since October 29. On the week, silver futures climbed 79.0 cents, or 6.85%, the fourth consecutive weekly rise. Fed Chair Janet Yellen said Wednesday that financial conditions have become less supportive to growth as foreign developments pose risks to the economic outlook, but also maintained that moderate growth at home would justify "gradual adjustments" to the Fed's monetary policy stance. Investors also reacted to comments from New York Fed President William Dudley, in which he said the key components of the U.S. economy remain healthy.
COPPER
Copper for March delivery advanced 2.2 cents, or 1.12%, to end the week at $2.029 a pound on Friday, as traders closed out bearish bets ahead of Chinese data expected next week and before the long holiday weekend in the U.S. For the week, Comex copper prices lost 5.2 cents, or 3.48%, as investors slashed holdings of the red metal amid persistent worries over a China-led global economic slowdown. In the week ahead investors will be watching U.S. inflation data for indications on whether the Federal Reserve will raise rates at all this year. China is to release what will be closely watched trade and inflation data and China’s markets are to reopen Monday after the week-long Lunar New Year holiday. Copper held near a two-week low on concern that exports from Freeport-McMoRan’s Indonesia mine set to resume shipments from its Grasberg mine in Indonesia, the world’s second-largest for the commodity, will add to an oversupply. Most other industrial metals climbed. Indonesia approved the renewal of an export license that will allow Freeport to ship about 1 million metric tons through August 8, according to a trade ministry official. Copper was down a fourth day on the London Metal Exchange, set for the longest run in almost a month.
CRUDE OIL
Oil prices staged a dramatic rally on Friday, with the U.S. benchmark posting its biggest one-day gain in seven years as a renewed possibility of coordinated production cuts prompted investors to close out bets on lower prices. On the New York Mercantile Exchange, crude oil for delivery in March surged $3.23, or 12.32%, to end the week at $29.44 a barrel. Crude prices received a boost following reports late Thursday that OPEC members are preparing to cooperate on potential production cuts, according to United Arab Emirates' energy minister Suhail bin Mohammed al-Mazrouei. Futures received a further boost after industry research group Baker Hughes said late Friday that the number of rigs drilling for oil in the U.S. decreased by 28 to 439 last week. The support and the resistance are provided respectively by the 14.6 percent and the 23.6 percent Fibonacci retracements on the downtrend from the Nov. 3, 2015 high of $50.91 to the Jan. 20 low of $27.10. The channel line of a falling channel also suggests a target at $32.72, after touching which, oil will resume its drop towards $27.10, to reverse the downtrend then. A drop below the Feb. 11 low of $29.92 could cause a loss to $28.77, the 7 percent level.
NATURAL GAS
U.S. natural gas futures crashed to seven-week lows on Friday, as updated weather forecasting models called for higher-than-normal temperatures later in February. Bearish speculators are betting on the mild weather reducing late-winter demand for the heating fuel. The heating season from November through March is the peak demand period for U.S. gas consumption. The EIA's next storage report is due on Thursday, February 18. Inventories fell by 110 billion cubic feet in the same week last year, while the five-year average change for the week is a drawdown of 176 billion cubic feet. Natural gas futures are down nearly 16% so far this year as a warmer-than-normal winter due to the El Niño weather pattern has limited the amount of heating days and reduced demand for the fuel.
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