GLOBAL COMMODITIES: THROWING JAVELINS

The basket of global business has started putting in weight to the scale with the recent geopolitical developments occurring across the board.This signals a fresh start towards the revamp of global economic health.We have seen different shifts in perspective with regards to several issues such as global trade and tariffs front being the tip of the spear.

AI is also a feature that's substantially new and discussions are underway to see its implications on the labour markets.

Global markets are keen on decisive moves being made by the respective Central Banks with regards to cutting interest rates.The Euro is still on parity levels with chatter of the DollarSpotIndex following the same pattern in months to come as we trace the 50 EMA post tariffs news shock.Yen has been Weaker for the past 3 days,hovering around the 153 handle as we watch out for the Yen Carry Trade unwinding.

Our focus for the week is on the Commodities front,in mind being Steel and Alluminium.Traders,Javelins have been thrown!

The two were placed on tariffs watchlist this week which sparked moves on Deformed Bar Futures(3340(-0.62%),Aluminum Futures(20505(+0.05%) and Iron Ore from Singapore(107.15(+0.76%)).

South Korea bring a major global exporter of Steel had sent a delegation to assist on the talks to achieve on concensus.

Safe haven scrambling has also being seen with Gold Futures $GC_F making another ALL TIME HIGH(ATH)at $2968.50/oz with the rally fizzing out with cascading pullbacks signaling that the $3000/oz pricing is a close horizon.PBoC has also increased its Gold reserves this week.It announced on 7th February that its Gold reserves for January 2025 were 73.45 million ounces, an increase of 160,000 ounces from the previous month.

CME MARGIN INCREASE : Comex raises margin rates on Gold (8%) and Silver (6%) futures.

Palladium has also been on the watch with prices forming bullish momentum as we approach to break the $1000/oz marching orders to the $1200/oz pricing average.

Global Energy Complex is still on positive gyrations with twists and turns within the ebbs and flows,Global Oil maintaining the low 70s support zone with jitters of breaks when you look at historical inventories data.Russia has also buoyed pricing with the recent outflow reduction.This saw BRENT Crude & WTI Crude gaining +1% a piece towards $76/bbl and $73/bbl respectively. Natural Gas is still fiddling with the gas pedal at the $3.5/mmBtu with an ascending triangle as the pivot for a gap fill towards the $4/mmBtu pricing average.

Being the season of love and its niceties,let us embrace love for the world we are in and push the effort towards the force of good.

There is no greater pain of the human existence than the prospect of having a new idea.Adapt to change and grow from it.

Be peaceful, be kind.

Andy Warr,

TophatFinanceGroup.

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