Oil prices traded mixed. The possible interest rate hike by the Fed, a stronger U.S. dollar and concerns over the global oil oversupply weighed on oil prices.

Market participants are also awaiting the release of the number of active U.S. rigs later in the day. The oil driller Baker Hughes reported on last Friday that the number of active U.S. rigs increased by 2 rigs to 574 last week. It was the first rise in 11 weeks.

WTI crude oil for December delivery dropped to $40.21 a barrel on the New York Mercantile Exchange.

Brent crude oil for December rose to $44.57 a barrel on ICE Futures Europe.

Gold price declined on a stronger U.S. dollar. The greenback rose against other currencies on speculation that the Fed will start raising its interest rate next month. Yesterday's speeches by the Atlanta Fed President Dennis Lockhart and the Fed Vice Chairman Stanley Fischer added to this speculation.

Atlanta Fed President Dennis Lockhart said on Thursday that the Fed should raise its interest rate soon.

The Fed Vice Chairman Stanley Fischer said on Thursday that the Fed has done everything to prepare markets for the possible interest rate hike.

December futures for gold on the COMEX today fell to 1078.00 dollars per ounce.

Iran's Deputy Trade Minister Mojtaba Khosrowtaj said on Thursday that the country could double its oil exports within three months after the lift-off of sanctions.

"Earlier, before sanctions, we produced 1.8 million barrels of oil per day for domestic use and 2.5 for export. Currently, we export almost one million barrels per day, and we are fully prepared to add another 500,000 barrels of oil to our exports immediately after sanctions are lifted. And within a few months, maybe three, we can add another 500,000 barrels per day," he said.

Goldman Sachs said that oil price could drop to $20 a barrel due to increasing global oil oversupply and mild weather.

"Risks of a sharp leg lower remain elevated," the investment bank said.

West Texas Intermediate futures for December delivery is currently at $41.92 (+0.48%), while Brent crude is at $44.26 (+0.18%). Prices remain under pressure despite these minor gains as fundamentals are weak. The global supply glut persists and Iran is preparing to add more crude.

Some traders are getting ready for further declines as analysts expect crude prices to stay low at least throughout the beginning of 2016. Expectations for a relatively warm winter add to this speculation.

Gold climbed to $1,083.00 (+0.47%) however it's on track to post another weekly decline as a looming FOMC meeting keeps pressure on this metal. Higher interest rates would impact demand for the non-interest-paying bullion.

Sources familiar with the matter said that Chinese banks got more cautious about lending to jewellery manufacturers because of a growing number of defaults. This news makes investors more cautious as well.

(raw materials / closing price /% change)

Oil 40.58 +0.10%

Gold 1,081.40 +0.32%