Is Iraq the next country to leave OPEC?

Daily Analysis - 05/12/2018

A Top energy analyst said Iraq could be next

Qatar's removal from OPEC after 57-years may be mainly symbolic and also it's improbable to spawn more departures. Nevertheless, a respectful energy analyst thinks that if there is a possibility for another country to leave OPEC then it would likely be Iraq. Yesterday Michael Cohen, head of energy markets research at Barclays bank, told CNBC's." I think in terms of all the OPEC countries, to be the one that stands out over the last six to eight months is Iraq," and he added "Iraq has been out of line with its target frequently... so if restrictions to cut were too stringent, Iraq might feel it is in its best interest to no longer be a member of the organization."

Gold pulls back due to a strong Greenback

On Wednesday Gold prices fell, reversing from more than a month cap scored in the prior trading session, while the popular greenback inched higher. The U.S. gold futures moved under 0.49% at $1,240.1 per ounce while the popular spot gold continued down about 0.3% at $1,234.70 per ounce, after scoring its high-priced level since late October at $1,241.86 an ounce in the previous trading session. Brian Lan, managing director at dealer Gold Silver Central in Singapore said “Gold is mainly tracking the U.S. dollar," and he added, "Today's move in gold prices is a correction because yesterday prices were up quite a bit."

Oil prices slip on fears for a global economic retraction

Early today Oil rates declined by increasing U.S. inventories and a fall in global stock markets while China's government reported a concern of increasing economic turmoil. The popular U.S. West Texas Intermediate crude futures seen down at $52.30 per barrel that's down about 90 cents.

International Brent crude oil futures were at $60.87 per barrel under $1.21, from their last close. Reuters technical commodity analyst Wang Tao said WTI could soon reach the support line at $51.75 per barrel, while Brent was approaching to a breakout level below $60 per barrel again soon.

Stocks in Asia fell on Wednesday

On Wednesday, stocks in Asia sank following a late fall on Wall Street while traders troubled on a possible economic retardation and the status of the U.S.-China trade conflict.

The land region Chinese exchanges, strictly observed in connection to Beijing's continuing fight with Washington, slid by the end of their trading day. The Shanghai Composite sank 0.60% to end at about 2,649.80 and the Shenzhen composite fell 0.483% to close at around 1,380.78.

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