Gold futures remained in high demand on the futures markets in the week leading up to May 14. According to the latest Commitments of Traders report from the U.S. Commodity Futures Trading Commission (CFTC), the number of open contracts (Open Interest) rose from 520,800 to 522,950 futures (+0.4 percent), marking the highest level since July 2022. Sentiment among large speculators (Non-Commercials) significantly improved, with their long positions increasing by 5,500 futures, compared to a smaller increase of 570 contracts in their short exposure. This resulted in their net long position (optimistic market expectation) rising from 199,600 to 204,500 futures (+2.5 percent). However, there was no significant change in sentiment among small speculators (Non-Reportables), whose net long position barely changed from 27,700 to 27,600 contracts (-0.4 percent).
On Monday morning, gold prices showed an upward trend. By 8:50 AM (CEST), the most actively traded gold future (June) had risen by $22.40 to $2,439.80 per ounce.
Crude Oil: Slightly Positive Start to the Week
The death of Iranian President Raisi in a helicopter crash is cited as a reason for the positive trend in oil markets at the start of the week. The Iranian Foreign Minister Amirabdollahian was also on board the helicopter and did not survive the crash. This incident is expected to lead to politically uncertain times for the Iranian regime. Combined with geopolitical risks in the Gaza Strip and Ukraine, supply issues may keep oil prices relatively high.
On Monday morning, oil prices also showed slight increases. By around 8:50 AM (CEST), the nearest WTI future had risen by $0.21 to $80.27, while its Brent counterpart increased by $0.41 to $84.39.
