(raw materials / closing price /% change)

Light Crude 77.19 -0.27%

Gold 1,151.30 a-0.73%

Brent crude rose for a second day on speculation stronger economic growth in China will boost demand from the world's second-biggest oil consumer. West Texas Intermediate slipped in New York.

Futures approached $85 a barrel in London before paring gains. Chinese exports rose more than expected in October, data from the customs administration showed on Nov. 8. The country's crude-oil imports jumped 9.2 percent last month from a year earlier. Crude also gained on escalating tensions in Ukraine. WTI widened its discount to Brent as the dollar strengthened.

"Some of the Chinese numbers have gotten a little bit better," said Bill O'Grady, chief market strategist at Confluence Investment Management in St. Louis, which oversees $2.4 billion. "The increased shelling in Ukraine is probably having a little bit of an impact."

Brent for December settlement rose 46 cents, or 0.6 percent, to $83.85 a barrel at 10:15 a.m. New York time on the London-based ICE Futures Europe exchange after earlier climbing to $84.97. Prices slid for a seventh week through Nov. 7, the longest weekly retreat since 2001. The volume of all futures traded was 1 percent below the 100-day average for the time of day.

WTI for December delivery slipped 14 cents to $78.51 a barrel on the New York Mercantile Exchange. Volume was 24 percent above the 100-day average. WTI's discount to Brent widened to $5.27 on the ICE from $4.74 on Nov. 7.

Gold prices retreated from highs reached on Friday against the weakening of the dollar after a report on US employment.

US Department of Labor announced that in October was created 214,000 jobs, while the expected creation of 229 000 jobs. The US unemployment rate fell to a fresh six-year low of 5.8% from 5.9% in September.

These have forced investors to get rid of the dollar to lock in profits after a recent rally, but did not affect the expectations that the Federal Reserve will raise interest rates earlier than other major central banks.

Fed recently completed its monthly bond purchase program and is expected to raise interest rates now in 2015, although the next possible time lifting borrowing costs remain unclear because of the ambiguity of US data.

Expectations of growth rates on loans are putting pressure on gold as a precious metal hardly competes with the yield of interest-earning assets at higher rates.

American statistics today did not go and investors analyzed Chinese data. Official trade data released over the weekend showed that Chinese copper imports rose in October by 2.6% for the month, to 400,000 metric tons. It was the second consecutive monthly increase and the highest since April.

China's trade surplus widened last month to $ 45.4 billion from $ 31.0 billion in September, while the expected surplus of $ 42.0 billion.

In October, China's exports grew by 11.6% year on year, beating expectations for an increase of 10.6%, while imports rose by 4.6%, although the predicted growth of 5.5%.

Trade data came out before a government report released Monday, said that Chinese inflation in October remained near five-year low of 1.6%, unchanged from September and in line with expectations. Producer price index in October fell more than expected, by 2.2% in annual terms.

The cost of December gold futures on the COMEX today dropped to 1161.00 dollars per ounce.

The Swiss franc hits 2-year-high against the euro on Monday. The currency pair EURCHF was testing 1.20 franc ceiling set by the Swiss National Bank (SNB). The SNB could intervene if the EURCHF would decline further.

The volatility of EURCHF is higher now ahead of Switzerland's referendum in on November 30. Population in Switzerland will vote whether the SNB should keep at least 20% of its assets in gold, up from 8% now. Switzerland's central bank would need to foreign reserves to reach this target.

Oil prices rose in today's trading. Brent Crude, after a seven-week price drop, is currently trading +1.62% at USD84.74, WTI Crude +1.34% trading higher at USD79.70 after positive employment data from the U.S. and China's exports exceeding forecasts and crude imports rose significantly. The U.S. and China are the world's two leading oil consuming nations. But oil still is under pressure as global demand remains low and there is no indication OPEC will cut output to support oil prices.

Libya's two biggest oil fields are scheduled resuming output today after they were seized by gunmen last week.

Gold, currently trading at USD1171.00 declined today after Friday's biggest gains in more than a four months period after U.S. nonfarm payrolls increased to 214,000 in October but not being in line with forecasts (231,000) putting pressure on the greenback. Last week gold was trading at 4 ½ year lows caused by the strong U.S. dollar and investors' fears the FED could increase interest rates. A strong U.S. dollar, bullish equity markets and an improving U.S. economy still weigh heavy on gold.

GOLD currently trading lower at USD1171.00 after Friday's rally

REUTERS

Bank of Russia Cuts 2015 Economic Forecast to Show No Growth

Russia's central bank cut its base-case economic forecast for next year to show no growth, assuming sanctions remain in place and oil averages $95 a barrel.

The regulator also pushed back its medium-term inflation target of 4 percent to 2017 from 2016, according to a revised monetary policy plan for 2015-17 released today. The base-case scenario sees sanctions lasting through the end of 2017.

Source: http://www.bloomberg.com/news/2014-11-10/bank-of-russia-cuts-2015-economic-forecast-to-show-no-growth.html

REUTERS

Russian central bank abandons rouble trading band, floats rouble

The Russian central bank said on Monday it had abandoned the rouble's trading corridor, allowing the currency to float freely.

The bank also said in a statement it would intervene in the foreign currency market if it saw a threat to financial stability. (Reporting by Lidia Kelly and Elena Fabrichnaya; Writing by Lidia Kelly, editing by Elizabeth Piper)

Source: http://www.reuters.com/article/2014/11/10/russia-cenbank-rouble-idUSL6N0T01MK20141110

BLOOMBERG

Gold Bulls Accelerate Retreat to This Year's Fastest Pace

Hedge funds made their biggest cut of the year in bullish gold wagers as prices tumbled to the lowest since 2010.

The net-long position in New York futures and options contracted 36 percent as long holdings fell the most in almost two years, U.S. government data show. Investors sold 22.4 metric tons of bullion held through exchange-traded products last week, trimming assets to the least since August 2009.

Source: http://www.bloomberg.com/news/2014-11-09/gold-bulls-accelerate-retreat-to-this-year-s-fastest-pace.html

REUTERS

Dollar lower, franc within sight of SNB ceiling vs euro

The dollar made a poor start to the week on Monday, with some investors still seeing Friday's weaker than expected U.S. jobs numbers as an excuse to pause after three strong weeks of gains.

The Swiss franc EURCHF= was back on the verge of the central bank's 1.20 franc ceiling versus the euro after another week that highlighted the euro zone's problems.

Source: http://www.reuters.com/article/2014/11/10/us-markets-forex-idUSKCN0IT0Y320141110