On Tuesday, commodities markets experienced a relatively calm session. The price of the front-month contract on Brent fell by about 0.5 percent and thus returned below 112 USD per barrel (USD/bbl) level.
Today, the calendar is well filled. Apart from US labor market figures and ISM non-manufacturing index, EIA will release its weekly data on US oil inventories. The data published by API yesterday unveiled a slightly lower than expected build in crude inventories. More importantly, the report also showed that gasoline inventories, which are seen well below the longer term average, fell less than expected.
Today in early trading, three month copper (LME) virtually erases yesterday’s gains and dips back below 8300 USD/t level. Later today, the ADP labour market report and the non-manufacturing ISM will be published in the US. The Fed action has still to filter through into the economy. So, one might expect markets to be rather forgiving if the data don’t come out too far below consensus. Moreover, the price action might be further muted due to holiday in China.