Increasing war tensions – Gold price may boost

Iraqi federal forces moved in to the disputed Kirkuk and seized oil fields and other infrastructure amid soaring tensions over Kurdish vote for independence. Iraq fighting may effect to the oil supply. I think oil supply may reduce in short-term because some area cannot work. Therefore, oil price may edge higher as crude oil stock may decrease combined with investor worry. U.S. crude oil inventories at 21.30 GMT+7 also were forecasted lower so today Brent may rise up.
North Korea told UNSC on Monday that they will never negotiate nuclear disarmament until the United States abandoned its hostile policies and will not threat to other countries as long as they will not join with the United States. In my opinion, this may increase the worry about tension on Korea peninsular and may effect to stock exchange markets of some countries on Korea peninsular such as South Korea and Japan. Hence, gold price may edge higher by rising war tensions.
I also suggest to focus on U.K. claimant count change at 15.30 as it may give negative for Great Britain pound. I think GBP/USD may move sideways down a little bit because U.S. dollar may ease its strength. Moreover, U.S. dollar may keep holding steady against euro and yen. From my view, EUR/USD may move flatly because investors will focus on ECB meeting next week so I suggest to listen president Draghi speech at 15.10 GMT+7.

By Niramon Nitnitiphruet
Financial analyst, Olymp Trade

Olymp Trade Review