review the oil market for 27.01.10

Dynamics
Quotes of the oil market on Wednesday, January 27 on the basis of bidding closed with a decrease in the price of the background data on stocks of petroleum and petroleum products in the United States, and also due to the fall of neighboring markets and the weak dynamics of the stock pads.

At the New York Stock Exchange NYMEH the March futures price of U.S. crude fell by 1.04, or 1.0%, and its price was 73.67 dollars per barrel.

The exchange ICE in London, Brent crude futures price fell 1.05, or 1.0%, to 72.24 dollars per barrel.

Causes
On Wednesday, Jan. 27 quotes on the market of “black gold” closed with a decrease in price under the following factors: 1 - Economic data - as reported by Energy Information Administration, crude oil reserves in the U.S. for the week of 16-22 January decreased by 3 9 million barrels, gasoline inventories rose 2.0 million barrels, while distillate stocks rose 0.4 million barrels, with a load of refineries in the U.S. totaled 13.6 million barrels a day - the lowest level since September 2008, when oil refineries in the United States affected by hurricanes, as well as 13-year minimum for this time of year. Oil demand in the U.S. over the past four weeks averaged 18.753 million barrels per day, 2 - weak dynamics of the stock sites, where U.S. stocks rose, restoring the losses after the Federal Reserve reiterated its promise to keep interest rates down “indefinitely” (Dow Jones industrial average - 10236.16 (41.87, or 0.41%), Nasdaq Composite - 2221.41 (17.68, or 0.80%), SP 500 - 1097.50 (5.33, or 0.49%)), 3 - to strengthen the U.S. dollar in the FOREX market , which has downward pressure on the oil market; 4 - negative dynamics of the neighboring markets, namely the drop in prices of precious metals market.

From news worth noting the message the State Statistics Committee of Azerbaijan that oil production in Azerbaijan in 2009. amounted to more than 50.376 million tons, which is 13,5% more than in 2008, According to the report, 83.1% of all oil produced in the offshore blocks of the Azeri-Chirag-Guneshli fields in the Caspian. Goskomstat also reports that last year there were produced 23.584 billion cubic meters gas, which is 0,8% more than in 2008

What to expect?
Many analysts point to the fact that oil prices are still within the trading range of 70-80 dollars per barrel. This means that oil prices may have the potential for further growth. The close relationship between oil prices and U.S. dollar is expected to continue to set the tone for trading on the oil market.

Why worry?
The main negative factors in the oil market are U.S. dollar and the technical picture, namely, the psychological and technical level of $ 80 per barrel, which does not allow to pass higher oil prices, thereby encouraging market participants to lock in profits on the open long positions.

Overview of precious metals market for 27.01.10

Dynamics
On Wednesday, Jan. 27 quotes for gold and silver have completed trades with a decrease in value against the background of strengthening U.S. dollar on the foreign exchange market, FOREX, and also due to the fall of neighboring markets and the weak dynamics of the stock pads.

As a result of trading on the COMEX, division of the New York Mercantile Exchange (NYMEX), quotes gold futures dropped 13.80 to 1085.70 on dollars per troy ounce, quotes, silver futures fell 42 cents to 16.44 dollars per ounce.

Causes
On Wednesday 27 January futures on precious metals have completed trades with a decrease in price under the following factors: 1 - strengthening of the dollar in the FOREX market against the backdrop of economic makrostatistiki and news (the real estate market - new home sales reached a 9-month minimum fell to 7.6%, taking into account seasonal correction of up to 342,000 in December compared with 370,000 in November), 2 - weak dynamics of the stock sites, where U.S. stocks rose, restoring the losses after the Federal Reserve reiterated its promise to keep interest rates low “indefinitely”, as well as on the background of strong corporate reporting (Dow Jones industrial average - 10236.16 (41.87, or 0.41%), Nasdaq Composite - 2221.41 (17.68, or 0.80%), SP 500 - 1097.50 (5.33, or 0.49% )), 3 - negative dynamics of the neighboring markets, namely the falling price of oil market; 4 - technical reasons - the speculative market participants, who had previously bought futures on gold, have to sell them, compensating for the position and fixing the profit before the end of the Fed meeting and statement Obama.
drop in prices of platinum group metals contributed to the alignment positions. Additional pressures on these metals are also likely to have had a decision the company Toyota Motor Corp to suspend the sale of eight cars. Platinum and palladium are used in catalytic converters for cars, and therefore react to the situation with sales and production in the automotive industry.

From news can note that the Australian company OZ Minerals Ltd. in the 4th quarter made from ore mined in the hydrothermal deposits Prominent Hill, working out which began in February 2009., 36,5 thousand tons of copper in concentrates, resulting in total production in 2009. amounted to 96,3 thousand tons of copper. In addition, for the year were produced 75.5 million ounces (2.35 tonnes) of gold and 700.2 million ounces (21.8 tonnes) of silver. Company intends to 2010-2012. achieve production of 100-110 thousand tons of copper a year. Currently, OZ Minerals is a detailed exploration on the Australian copper deposit Western Copper and prospecting in the gold deposit Okvau the north-eastern Cambodia. However, in 2009. company sold its 75% stake in the project Chatri in Thailand.

What to expect?
Traditional purchase of precious metals in the early years of the funds, the overall improvement in investor sentiment, as well as decrease the U.S. dollar will provide sustained support to the quotations of gold and silver. However, the situation could change dramatically if the dollar will resume its strengthening, as the inverse correlation between the dollar and the prices of precious metals continues.

Why worry?
volatile changes in the currency market may be reflected in the sharp fluctuations of prices for precious metals.

U.S. indexes rose on Wednesday on statements by the Fed to continue to stimulate the economy
Russia”s indexes show growth on the background of a favorable situation on world stock markets
At 13.00 Moscow time trade on the MICEX Stock Exchange amounted to 73.7227 billion rubles
In the course of the trading session effect on the dynamics of the stock market could have a weekly statistics on the U.S. labor market
Speculative recomcf0mendation on shares of MMC Norilsk Nickel, Gazprom, Lukoil, Sberbank and VTB
The level of support for fixed-term contract on RTS index today - 142 800 points
In 2009, the Railways have invested 15.1 billion rubles in the construction and reconstruction of bridges and tunnels
During today”s trading in Asia reported a decline of the euro to a minimum $ 1.3935
Asian stock exchanges today are optimistic