Oil surges, gold eyes record highs

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Oil surges, gold eyes record highs

Oil powers higher

All the headlines suggest oil prices will continue to go higher.  Global energy supplies will continue to get tighter now that both the US and UK will ban n oil.  The US took it one step further and also will ban n natural gas and other energy sources.  ’s economy will take a big hit as the West shows unity and intensifies its sanctions against the Kremlin. The crude supply outlook will struggle to make up for n supplies over the next few months, so whatever pricing dips occur could be short-lived.

Crude prices pared earlier gains after President Biden confirmed that "n oil will no longer be acceptable at US ports." Oil prices had quite a run and some exhaustion has tentatively settled in after Biden's remarks on n sanctions.  Energy traders may need a fresh catalyst to send WTI crude above the USD 130 level, but the overall consensus is still that oil prices can head much higher.

Gold

Gold prices surged as surging oil prices had Wall Street worried that a recession could happen a lot sooner than anyone was expecting.  The latest developments in the West's fight against  was that the US would ban n oil, LNG, and coal.  The economic pain that will hit the n economy will likely see a retaliation from , which will put the pressure back on the Europeans.  Europe heavily relies on n energy and that will likely mean they will continue to have a phased-in approach to its dependency on n supplies.

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