The oil price extended previous gains on Monday and the front-month futures contract thus hit yet another three-month high. Fundamentals in the North Sea physical market tightened again – the spread between the front and the second month contract further widened and hit the largest level since the end of January this year. According to market sources, few
Forties cargoes were deferred due to lower production at Buzzard oil field.
The price of gold was barely changed yesterday even though US retail sales data for June surprised to the downside and boosted US treasuries. Investors seems to be rather cautious ahead of Fed Bernanke’s testimony before the US Congress (Wed and Thu) and we do not expect any price action until then.