Oil is trading lower. Brent Crude lost -0.97%, currently trading at USD54.14 a barrel - rebounding from an early selloff. West Texas Intermediate declined -0.76% currently quoted at USD44.50 after reaching a new 6-year low in today's trading on speculations that U.S. storage capacities might reach its maximum. Oil declined for a fourth consecutive week on Friday after government data showed U.S. output and stockpiles rose to the highest levels in more 30 years.

The IEA warned in its latest monthly oil report that the recovery in prices is fragile and that U.S. production might rebound despite a lower rig-count - further worsening the global supply glut. Today the OPEC will release its monthly report.

Oil prices declined by almost 60% between June 2014 and January 2015 and recovered by almost 35% in 2015 before declining again. Although prices rebounded after setting new lows, worldwide supply still exceeds demand in a period of low global economic growth, pushing stockpiles to record highs and weighing on prices.

Gold is trading lower today after Friday's rebound from recent 3-month lows set on Wednesday last week. A broadly weaker greenback lends some support to bullion today. All eyes are now on the FED's upcoming two-day monetary policy meeting and the rate decision on Wednesday to see if the word "patient" will be dropped and if the U.S. economy has gained enough momentum. Investors hope that the minutes will provide further insight into when the Central Bank is going to hike rates that have been near zero since 2008. The U.S. Commodity Futures Trading Commission reported on Friday that bullish positions on bullion were reduced for the sixth straight week. Physical demand was higher due to low prices but not in sufficient numbers to support the price.

A stronger U.S. dollar and the prospect for higher U.S. rates recently weighed on the precious metal as gold is dollar-denominated and not yield-bearing.

Gold is currently quoted at USD1,156.60, -0,21% a troy ounce. On Thursday the 22nd of January gold reached a five-month high at USD1,307.40. On Wednesday last week gold traded as low as USD1,147.30.

BLOOMBERG

Swiss Count Cost of Franc Tsunami Damage as Market Tide Recedes

(Bloomberg) -- Thomas Jordan is about to reveal the damage from Switzerland's biggest single-day currency shock this century.

Two months after the Swiss National Bank abolished its cap on the franc, its officials are preparing their first economic forecasts to assess the impact of that move. President Jordan will give that outlook on March 19 at a policy assessment at which economists predict the central bank will keep its negative deposit rate at a record low.

"The strong appreciation of the franc after the cap was given up should significantly hit the Swiss economy," said Martin Gueth, economist at LBBW in Stuttgart, Germany. "We expect the SNB to remain in a wait-and-see mode, but should the franc appreciate, it will wage fresh currency interventions or even cut rates again."

The decision on Thursday gives the three-member SNB board an opportunity to jointly address the public after the denouement of the franc ceiling of 1.20 per euro on Jan. 15, a shock described as a "tsunami" by Swatch Group AG Chief Executive Officer Nicolas Hayek. SNB policy makers will hold a press conference in Zurich, breaking normal practice that would dictate waiting until June for the next such encounter.

Source: http://www.bloomberg.com/news/articles/2015-03-16/swiss-count-cost-of-franc-tsunami-damage-as-market-tide-recedes

BLOOMBERG

Oil Slumps to Six-Year Low as U.S. Production Seen Filling Tanks

(Bloomberg) -- Oil extended its collapse to the lowest intraday price since March 2009 on speculation that record U.S. supply may start to strain the country's storage capacity.

Crude tanks in the U.S. may fill up as drilling-rig cuts fail to slow production this year, the International Energy Agency predicted. Speculators have cut bullish bets on oil to the lowest level in more than two years while short wagers rise to a record, U.S. Commodity Futures Trading Commission data show. Futures lost as much as 2.8 percent to $43.57 a barrel in New York on Monday, falling a fifth day.

Oil slumped for a fourth week on Friday after government data showed U.S. output and stockpiles expanded to the highest levels in more than three decades, exacerbating a glut that drove prices almost 50 percent lower last year. The market hasn't bottomed yet because of the surplus, former Federal Reserve Chairman Alan Greenspan said on Bloomberg Television.

Source: http://www.bloomberg.com/news/articles/2015-03-15/oil-slumps-near-6-year-low-as-u-s-supply-seen-filling-tanks

REUTERS
Greek PM Tsipras says there is no going back to austerity

(Reuters) - Greece will not accept any return to austerity, leftist Prime Minister Alexis Tsipras said on Monday, adding that he was convinced he would strike a deal with international partners to keep finances afloat.

"The key for an honorable compromise (with the EU/IMF creditors) is to recognize that the previous policy of extreme austerity has failed, not only in Greece, but in the whole of Europe," Tsipras told daily Ethnos in an interview.

Greece's left-wing government won elections in January on a pledge to roll back budget rigor and renegotiate the terms of a 240 billion euro bailout. But it has faced resistance fromeuro zone partners who are unwilling to offer major compromises.

Source: http://www.reuters.com/article/2015/03/16/us-eurozone-greece-tsipras-idUSKBN0MC0MO20150316

(raw materials / closing price /% change)

Oil 44.84 -4.70%

Gold 1,156.10 +0.32%