(raw materials / closing price /% change)

Light Crude 50.02 -0.04%

Gold 1,203.50 -0.04%

Brent oil fell below $55 a barrel for the first time since May 2009 as surging supply from Russia and Iraq bolstered speculation the global glut that drove crude into a bear market will persist.

Futures slid as much as 5.1 percent in London and 4.3 percent in New York. Russia's output rose to a post-Soviet high in December, preliminary Energy Ministry data showed. Iraq, the second-largest producer in the Organization of Petroleum Exporting Countries, plans to boost crude exports to a record this month, the Oil Ministry said.

"This bearish market is being fed by a combination of surging supply and shaky demand," John Kilduff, a partner at Again Capital LLC, a New York-based hedge fund that focuses on energy, said by phone. "We now have Russian production at a post-Soviet high and the Iraqis planning to add even more supply to the market. This just adds to negative market sentiment."

Brent slumped 48 percent last year, the most since the 2008 financial crisis, as OPEC resisted calls to cut output amid a battle with U.S. shale producers for market share. The 12-member group pumped above its target for a seventh straight month in December, according to a Bloomberg survey.

Brent for February settlement declined $2.83, or 5 percent, to $53.59 a barrel on the London-based ICE Futures Europe exchange at 10:46 a.m. New York time. The contract touched $53.53, the lowest since May 4, 2009. The volume of all futures traded was 42 percent higher than the 100-day average for the time of day.

West Texas Intermediate for February delivery dropped $2.14, or 4.1 percent, to $50.55 a barrel on the New York Mercantile Exchange. It slipped to $50.42, the lowest level since April 30, 2009. Volume for all futures traded was 4.8 percent above the 100-day average. The U.S. benchmark grade traded at a $3.04 discount to Brent.

Iraq plans to expand crude exports to 3.3 million barrels a day this month, Asim Jihad, a spokesman at the Oil Ministry in Baghdad, said by phone yesterday. The country exported 2.94 million a day in December, the most since the 1980s, he said.

Russian oil production rose 0.3 percent in December to a post-Soviet record of 10.667 million barrels a day, according to preliminary data published Jan. 2 by CDU-TEK, part of the Energy Ministry.

Gold prices rise, as investors try to hide from the sharp losses in the oil market amid lingering concerns over a slowdown in the global economy.

Oil prices continue to decline, falling to a more than five-year lows as investors switched to short positions in anticipation of lower prices amid lingering concerns about the growing supply.

Significantly limits the rise of the dollar got stronger. Index USD, which measures the dynamics of the US currency against a basket of six major currencies, rose 0.21% to a nine-year peak of 91.67.

The euro fell to nine-year low against the dollar amid high expectations that at the beginning of this year, the European Central Bank will resort to measures of quantitative easing in an attempt to strengthen the flagging economy of the region.

This week, investors will be focused on Friday's data on US non-farm payrolls to gain additional insight into the strength of the recovery in the labor market. On Wednesday, as the long-awaited report will be published next Fed meeting.

In 2014, gold fell nearly 2% amid signs that the strengthening of the US economic recovery will force the Fed to start raising interest rates sooner and faster than expected.

Expectations of an increase of interest on loans have a negative impact on the dynamics of gold, as the precious metal are struggling to compete with earning assets during periods of high interest rates.

The cost of the February gold futures on the COMEX today rose to 1202.90 dollars per ounce.

Brent crude and West Texas Intermediate fell for a third day, extending the slump hitting new 5 ½ year lows as the global glut continues in 2015 and a low global demand weighs amid record output from Iraq and Russia.

Both major brands lost more than 50% of their value since mid-2014 but the OPEC, responsible for 40% of worldwide oil-production, decided to leave output-rates unchanged around 30 million barrels a day. Disappointing data from the United States on Friday further fuelled fears about a sowing global economy and a decline in demand. The weak euro, making the dollar-nominated commodity more expensive for holders of other currencies, put further pressure on oil.

Brent Crude lost -2.04%, currently trading at USD55.27 a barrel. West Texas Intermediate declined by -2.11% currently quoted at USD51.58.

Gold prices rose in today's session for a second consecutive day re-approaching the USD1200 threshold once again after Friday's losses as investors demand for a haven is spurred by the political crisis in Greece. At the end of last week the precious metal was quoted intraday at a one-month low at USD1,167.30 before gaining ground.

The course of trading also influenced statements of the ECB Draghi, who acknowledged the high risk that the ECB will not be able to fulfill its mandate. As he pointed out, to fulfill the mandate under which the ECB should be the guarantor of price stability, it has become more difficult than six months ago, while reaffirming its commitment to action at the beginning of this year, if circumstances so require.

The precious metal continues to be under pressure with a strengthening greenback as the U.S. economy recovers and the FED is moving closer to raise interest rates. Falling oil prices make an inflation-hedge via gold less attractive. Volumes are back at normal levels after the holiday-shortened sessions.

The precious metal is currently quoted at USD1,192.00, +0,35% a troy ounce.

GOLD currently trading at USD1,192.00