Oil prices declined on Monday as U.S. stockpiles are at record highs. However, Baker Hughes, an industry research group, reported on Friday that the number of active drilling rigs in the U.S. further declined by 33 to 986, the lowest count since 2011. A poll conducted by Reuters, showed that the price of oil is likely to have found the bottom and may start to grow in the second half of 2015, since the fall in 2014 caused a decline in production. On Sunday Iraqi oil minister said he sees oil prices rising to USD65 a barrel.

Brent Crude declined by -1.17%, currently trading at USD61.85 a barrel. On January 13th Crude hit a low at USD45.19. West Texas Intermediate lost -1.17% currently quoted at USD49.18, back below USD50 a barrel.

Although prices stabilized recently worldwide supply still exceeds demand in a period of low global economic growth limiting the impact of positive macroeconomic news.

Gold booked gains in today's trading for a fourth consecutive day rebounding from lows hit on February 24^th at USD1,190.40 after the Peoples Bank of China cut benchmark interest rates last Saturday for the second time in three months by a quarter percentage point to 5.35% to spur economic growth and ward of deflation in the world's second largest economy. Lower interest rates a positive for gold as the relative cost of owning the precious metal decreases.

A stronger U.S. dollar and the prospect for higher U.S. rates recently weighed on the precious metal, even though the start of an interest rate hike may be delayed, as the precious metal is dollar-denominated and not yield-bearing.

The precious metal is currently quoted at USD1,216.70, +0,35% a troy ounce. On Thursday the 22nd of January gold reached a five-month high at USD1,307.40.

(raw materials / closing price /% change)

Oil 49.76 +3.30%

Gold 1,213.70 +0.05%