NYMEX, Brent hold gains in Asia on OPEC cut, China PMIs help - Sean Seshadri

Crude oil prices held overnight gains into Asia on Thursday as manufacturing figures out of China lifted regional sentiment on demand by the world's second largest importer.

On the New York Mercantile Exchange, U.S. crude for January delivery edged up 0.06% to $49.47 a barrel in Asia. Brent crude futures traded on London's Intercontinental Exchange were quoted flat at $51.84 a barrel.

China reported Thursday that the semi-official CFLP manufacturing index came in at 51.7 for November, compared with a 51.0 level seen, and up from 51.2 the previous month. The CFLP non-manufacturing PMI came in at 54.7, compared to 54.0 last month, subsequent figures from the private Caixin manufacturing PMI rose to 50.9 in November, beating an expected 50.8 level.

The Caixin index has now been above the 50-point neutral level which separates expansion in activity from contraction for five straight months, adding to views that in the world's second-largest economy growth has stabilized thanks to a credit and construction boom.

Overnight, oil prices surged nearly 9%, climbing after the Organization of the Petroleum Exporting Countries (OPEC) agreed to slash production.

OPEC ministers said the production pact had been several months in the making. "Over the past two months, this committee has done some excellent work. The meetings it has undertaken have been extremely constructive, providing us all with a better appreciation and understanding of the various viewpoints among OPEC and non-OPEC producers," said Mohammed Bin Saleh Al-Sada, Qatar's Minister of Energy and Industry and President of the OPEC Conference.

"The last time we met as a conference was in Algiers on September 28. This historic occasion, with OPEC Member Countries unified in approving the already mentioned ‘Algiers Accord’, saw an agreement on a new OPEC production target range. The focus was on accelerating the drawdown of the stock overhang and bringing the market rebalancing forward.

The energy minister said that the production cutting agreement will stabilize global oil prices. Oil prices have fluctuated at a rate during the last two months that makes OPEC leaders uncomfortable. "It is vital that stock levels start to fall, as the decision taken in Algiers recognized. As we have seen in previous cycles, once this overhang starts falling on a regular basis then prices start to rise and more stability will return to the market," Bin Saleh commented.

Oil production "remains a growth business," he added, "with oil demand in OPEC’s 2016 World Oil Outlook reaching over 109 million barrels of oil a day by 2040, a healthy increase of over 16 million barrels a day."

This growth will require "significant investments in the upstream, midstream and downstream," he concluded.
"Overall, estimated oil-related investment requirements are close to $10 trillion in the period to 2040."

Investors in the U.S. speculated that the oil production slowdown overseas could be good for business in the U.S. Under incoming President Donald Trump, oil exploration is expected to be allowed off the coast of Virginia and off the coast of Florida. Artic and Antarctic exploration, banned by current President Obama, could also be allowed by the Trump White House, and expanded U.S. production is something advocated by former Gov. Rick Perry (R-Texas), who is being touted for Energy Secretary. Oil field equipment stocks from Halliburton Company (NYSE:NYSE:HAL) and others could also benefit from the trend, analysts said.

NYMEX crude rebounds in Asia after API draw, OPEC key - Sean Seshadri

Crude oil prices rebounded mildly in Asia on Wednesday after a draw reported in industry inventory data from the U.S. and as speculation swirls on OPEC's production plans ahead of a crucial meeting in Vienna.

U.S. crude oil on the New York Mercantile Exchange traded at $45.39 a barrel, up 0.35%.

Prices were weighed Tuesday by conflicting media comments that call into question OPEC's ability to come to agreement about a cut in production. OPEC members will meet Wednesday in Vienna, Austria.

The American Petroleum Institute late Tuesday said crude oil inventories fell 720,000 barrels last week, 120,000 barrels more than expected and which followed a draw of 1.28 million barrels the previous week.

Overnight, oil prices fell more than 3% on Tuesday, extending early losses amid growing doubts that the Organization of the Petroleum Exporting Countries will be able to reach an agreement on a deal to curb output.

Global benchmark Brent futures on London's Intercontinental Exchange were last quoted at $47.24 a barrel.

OPEC is attempting to get its 14 member states, along with non-OPEC member Russia, to implement coordinated production cuts aimed at reducing a global supply glut that has seen prices more than halve since 2014.

Oil came under renewed selling pressure after Indonesia’s energy minister said Tuesday he’s “not optimistic” that OPEC will agree on a deal to rein in oversupply.

In September the producer cartel reached an agreement that would reduce production to between 32.5 million and 33 million barrels per day.

The organization is to hold a key meeting in Vienna on Wednesday, where the deal was expected to be rubber stamped.

But reaching a deal has proved problematic, amid disagreements over which producers should cut and by how much.

Technical talks between OPEC members on Monday failed to reach an agreement on output cuts, with Iraq and Iran - OPEC’s second and third-largest producers – resisting pressure from Saudi Arabia to reduce production.

Most analysts still believe OPEC will sign an accord to cut output, but doubts remain over whether it will be enough to support the market.

Morgan Stanley (NYSE:MS) said Tuesday it still sees a deal as likely but added that the risks of failure have risen.

“A strong announcement from OPEC to cut meaningfully could lift oil to $50 or more over the following days, particularly if supported by strong words from non-OPEC, before focus shifts to execution risk, sustainability and any non-OPEC supply response” analysts at Morgan Stanley wrote.

Gold prices inch up in Asia as dollar movements eyed for direction - Sean Seshadri

Gold prices inched up in Asia on Tuesday with the dollar in focus as it mildly retraces sharp gains in the past month on the suprise win of U.S. president-elect Donald Trump and widespread expectations for a Fed rate hike in December.

Gold for December delivery rose 0.10% to $1,192.00 a troy ounce on the Comex division of the New York Mercantile Exchange. As well, silver futures gained 0.29% to $16.723 atroy ounce, while copper futures jumped 0.49% to $2.672 a pound.

Overnight, gold prices rose more than 1% on Monday, rebounding from nine-and-a-half month lows as the dollar reversed some of its post U.S. election gains after surging to almost 14-year highs last week.

The dollar slipped lower on Friday as traders took advantage of the holiday-shortened week to take profits after a powerful rally propelled it to the highest level since April 2003.

Dollar selling resumed on Monday as investors looked ahead to potentially risky events such as Wednesday’s OPEC meeting and Italy’s upcoming constitutional referendum on December 4, which could see the government resign.Investors were also looking ahead to a raft of U.S. economic data this week, including Friday’s nonfarm payrolls report for November.

Gold is priced in dollars and becomes more attractive to holders of other currencies when the dollar falls.

Prices of the yellow metal have fallen around 6% so far this month on expectations that increased U.S. fiscal spending under a Trump administration will spur economic growth and inflation, which would ultimately lead to an era of higher interest rates.

Gold is sensitive to moves in U.S. rates, which lift the opportunity cost of holding non-yielding assets such as bullion, while boosting the dollar in which it is priced.

Gold rebounds from multi-month lows, up more than 1% - Sean Seshadri

Gold prices rose more than 1% on Monday, rebounding from nine-and-a-half month lows as the dollar reversed some of its post U.S. election gains after surging to almost 14-year highs last week.

Gold for December delivery was trading at $1,192.5 a troy ounce by 0934 GMT, after earlier rising as high as $1,197.00.

The precious metal touched a low of $1,171.21 per ounce on Friday, a level not seen since February 8.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.4% at 101.07, adding to Friday’s losses.

The dollar slipped lower on Friday as traders took advantage of the holiday-shortened week to take profits after a powerful rally propelled it to the highest level since April 2003.

Dollar selling resumed on Monday as investors looked ahead to potentially risky events such as Wednesday’s OPEC meeting and Italy’s upcoming constitutional referendum on December 4, which could see the government resign.

Investors were also looking ahead to a raft of U.S. economic data this week, including Friday’s nonfarm payrolls report for November.

Gold is priced in dollars and becomes more attractive to holders of other currencies when the dollar falls.

Prices of the yellow metal have fallen around 6% so far this month on expectations that increased U.S. fiscal spending under a Trump administration will spur economic growth and inflation, which would ultimately lead to an era of higher interest rates.

Gold is sensitive to moves in U.S. rates, which lift the opportunity cost of holding non-yielding assets such as bullion, while boosting the dollar in which it is priced.

Elsewhere in metals trading, silver futures were at $16.78 a troy ounce, while copper futures traded at $2.70 a pound.

Copper prices have climbed almost 23% this month on hopes that infrastructure plans in top consumers China and the U.S. will bolster demand for the industrial metal.

Germany, 15 other countries press for arms control deal with Russia - Sean Seshadri

Fifteen European countries have joined Germany in its push for a new arms control agreement with Moscow, saying more dialogue is needed to prevent an arms race in Europe after Russia's actions in Crimea and eastern Ukraine, a German newspaper said.

"Europe's security is in danger," German Foreign Minister Frank-Walter Steinmeier told Die Welt newspaper in an interview published on Friday. "As difficult as ties to Russia may currently be, we need more dialogue, not less."

Steinmeier, a Social Democrat who has been nominated to become German president next year, first called for a new arms control deal with Russia in August to avoid an escalation of tensions in Europe.

Fifteen other countries - all belonging to the Organization for Security and Cooperation in Europe - have since joined Steinmeier's initiative: France, Italy, Austria, Belgium, Switzerland, the Czech Republic, Spain, Finland, the Netherlands, Norway, Romania, Sweden, Slovakia, Bulgaria and Portugal.

The group plans to issue a joint statement on Friday and will meet again on the sidelines of a Dec. 8-9 ministerial level OSCE meeting in Hamburg that will be hosted by Germany, which now holds the rotating presidency of the OSCE.

Steinmeier condemned Russia's annexation of Crimea and its support for separatists in eastern Ukraine, saying such acts undermined delicate bonds of trust built up over decades and threatened to unleashed a new arms race.

He urged more countries to join the arms control initiative.

"We have a responsibility to leave no stone unturned in our effort to increase security and peace," he told the paper.

U.S. officials are skeptical about the initiative, citing Russia's failure to abide by existing agreements and treaties.

Steinmeier also drew criticism from U.S. and NATO officials in June after warning that Western military maneuvers in eastern Europe amounted to "saber-rattling and shrill war cries" that could worsen tensions with Russia.

His Social Democrats (SPD) generally back a more conciliatory stance toward Russia than Chancellor Angela Merkel's conservative bloc.

Both parties are concerned about U.S. President-elect Donald Trump's comments during the campaign about rebuilding ties to Russian President Vladimir Putin and suggesting that he may scale back protection of NATO allies.

Oil prices static on uncertainty over planned production cut - Sean Seshadri

Oil prices were little changed on Thursday as uncertainty ahead of a planned OPEC-led crude production cut and thin liquidity due to the U.S. Thanksgiving holiday kept traders from making big new bets on markets.

International Brent crude oil futures (LCOc1) were trading at $48.90 at 0209 GMT, down 5 cents from their last close.

U.S. West Texas Intermediate (WTI) crude futures (CLc1) were at $47.94 per barrel, down 2 cents from their last settlement.

Traders said market activity was low due to the U.S. holiday, and there was a reluctance to take on big price directional bets due to uncertainty about a planned oil production cut, led by the Organization of the Petroleum Exporting Countries (OPEC).

OPEC is due to meet on Nov. 30 to coordinate a cut, potentially together with non-OPEC member Russia, but there is also disagreement within the producer cartel as to which member states should cut and by how much.

"The Thanksgiving Holiday today has thinned traders interest ... but the OPEC result next Wednesday is the only game in town for energy traders," said Jeffrey Halley, senior market analyst at OANDA brokerages in Singapore.

Most analysts believe that some form of a production cut will be agreed, though it is uncertain whether this will be enough to prop up a market that has been dogged by a fuel supply overhang for over two years.

Beyond OPEC, traders said the strong U.S.-dollar, which is at levels last seen in 2003 against a basket of other leading currencies (DXY), was influencing oil prices.

A strong dollar, in which oil is traded, makes fuel purchases more expensive for countries using other currencies at home, potentially crimping demand.

Oil at three-week high ahead of OPEC decision on output - Sean Seshadri

Oil prices rose over 3 percent to a three-week high on Monday, catching a lift from a weaker dollar, as major oil producing countries appeared to be moving closer to agreeing to limit output.

Brent crude oil has risen 11 percent in a week since Saudi Arabia, the de facto leader of the Organization of the Petroleum Exporting Countries, started a diplomatic charm offensive to persuade the group's more reluctant members to join its proposed output plan. OPEC members are due to agree a world oil freeze pact with non-OPEC countries on Nov. 30.

In the last several days, several members of the group, including Iran, along with non-member Russia, have suggested they are likely to agree to a deal to limit output.

"When you’ve got all of the major players on board with a production cut, obviously you're very close to getting a deal done," said Phil Flynn, senior market analyst at Price Futures Group in Chicago.

"You never know with OPEC - sometimes they go to the last minute and there are a lot of false starts."

Brent crude futures (LCOc1) rose $1.67 to $48.53 a barrel by 10:46 a.m. ET (1546 GMT), having touched $48.62, the loftiest level since Nov. 1. U.S. West Texas Intermediate (WTI) (CLc1) strengthened by $1.56 to $47.25 a barrel, after climbing as high as $47.33.

The dollar (DXY) also edged lower, easing off last week's 13-1/2-year highs as Treasury yields nudged lower, bolstering oil and the broader commodities complex including copperand gold <XAU=>.

Goldman Sachs analysts said in a note that the odds of an OPEC cut succeeding have increased, and believe the global oil surplus will shift into a deficit by the middle of next year, which would support prices.

Russian President Vladimir Putin said he saw no obstacle to freezing oil output, which at more than 11 million barrels per day is at a post-Soviet high.

OPEC members last week proposed a deal for Iran to cap, rather than cut, output.

Iran has been one of the main hurdles facing any curtailment, as Tehran wants exemptions to try to recapture market share lost under years of Western sanctions.

Libya and Nigeria, whose exports have been hampered by violence, have also asked to be left out of any deal. Nigeria's oil production fell to 1.63 million bpd in the third quarter from 1.69 million in the second quarter.

Hedge funds took a more cautious stance on oil prices amid the flurry of OPEC diplomatic, cutting their combined net long position in the three major Brent and WTI futures and options contracts by just 3 million barrels to 422 million barrels in the week ending Nov. 15.

Oil rallies to 3-week high on Putin freeze comments - Sean Seshadri Tampa

Oil prices rose to a three-week high during European hours on Monday, adding to last week's strong gains on growing expectations that global oil producers will find a way to cap output at a meeting scheduled for the end of this month.

Brent oil for January delivery on the ICE Futures Exchange in London rallied to an intraday peak of $47.72 a barrel, the most since November 2. It was last at $47.60 by 4:00AM ET (09:00GMT), up 69 cents, or 1.47%.

London-traded Brent futures logged a gain of $2.11, or 4.5%, last week, after posting losses in each of the past four weeks.

Elsewhere, crude oil for January delivery on the New York Mercantile Exchange inched up 69 cents, or 1.49%, to $47.05 a barrel, after touching $47.20 earlier, a level not seen since November 1.

Last week, New York-traded oil futures rose $2.28, or 5%, after three straight weekly declines.

Russian President Vladimir Putin sees a “high probability” that an agreement to curb oil production will be reached at a meeting later this month.

Speaking at a news conference in Lima after an Asia-Pacific Economic Cooperation summit on Sunday, Putin said Russia is willing to freeze its crude oil output at current levels.

Meanwhile, Iraq’s oil minister Jabbar al-Luaibi said late Sunday the country plans to offer three new proposals this week aimed at bolstering the unity of the group.

Additionally, Iranian Oil Minister Bijan Namdar Zanganeh said it’s “highly probable” members will reach a consensus, according to comments published by the country’s Shana news service.

Speculation that OPEC is moving closer toward finalizing its first deal since 2008 to limit oil output mounted amid reports that member countries proposed Iran cap its oil output at 3.92 million barrels per day (bpd) in a meeting on Friday. Tehran has previously said it would accept a freeze at between 4.0 and 4.2 million bpd.

The oil group reached an agreement to cap output to a range of 32.5 million to 33.0 million barrels per day in talks held in Algeria in late September. However, OPEC said it won’t finalize details on individual output quotas until its next official meeting in Vienna on November 30.

NYMEX crude trades weaker in Asia on U.S. inventories, OPEC awaited - Sean Seshadri

U.S. Crude prices fell in Asia on Thursday as investors gear up for an expected make or break meeting at the end of the month on plans by OPEC to curb OPEC as inventory builds in the U.S. gain attention.

Crude oil for December delivery on the New York Mercantile Exchange fell 0.26% to $45.45 a barrel. Brent oil for January delivery on the ICE Futures Exchange in London was last quoted at $46.46 a barrel, up 0.22%.

Overnight, oil prices added to losses during North American hours on Wednesday, falling to the lowest levels of the session after data showed that crude supplies rose the third straight week.

The U.S. Energy Information Administration said in its weekly report that crude oil inventories rose by 5.3 million barrels in the week ended November 11. Market analysts' expected a crude-stock gain of 1.5 million barrels, while the American Petroleum Institute late Tuesday reported a supply increase of 3.7 million barrels.

Supplies at Cushing, Oklahoma, the key delivery point for Nymex crude, increased by 691,000 barrels last week, the EIA said. Total U.S. crude oil inventories stood at 490.3 million barrels as of last week, which the EIA considered to be “historically high levels for this time of year”.

The report also showed that gasoline inventories increased by 0.7 million barrels, compared to expectations for a decline of 0.4 million barrels.

For distillate inventories including diesel, the EIA reported a gain of 0.3 million barrels.

Oil traders continued to weigh prospects of a coordinated production cut among major global oil producers.

An informal meeting of OPEC members is likely to be convened in the Qatari capital, Doha, on Friday to build consensus over decisions taken by the group in September, an Algerian energy source said on Wednesday.

Prices rallied nearly 6% on Tuesday amid reports that several OPEC members were engaged in a last-minute push to overcome divisions between the cartel’s biggest producers.

The oil group reached an agreement to cap output to a range of 32.5 million to 33.0 million barrels per day in talks held in Algeria in late September. However, OPEC said it won’t finalize details on individual output quotas until its next official meeting in Vienna on November 30.

The cartel pumped 33.64 million barrels of crude per day in October. The figures added to skepticism over the implementation of a planned deal by OPEC to limit production.

The possibility that producers could walk away empty-handed from the November meeting looms large after Iraq, Iran, Nigeria and Libya all signaled they might not take part in the proposed production cut deal. Russia’s unclear stance is also fueling uncertainty.

Gold prices fall slightly in Asia on expected Fed rate hike next month - Sean Seshadri

Gold prices drifted lower in early Asia on Wednesday as the market gears up for remarks this week from Fed Chair Janet Yellen as expectations for a December rate hike remain strong.

Gold for December delivery on the Comex division of the New York Mercantile Exchange eased 0.05% to $1,227.40 a troy ounce.

Earlier, Federal Reserve Vice Chairman Stanley Fischer on Tuesday said liquidity conditions in markets have changed as a result of tighter capital requirements enacted after the global financial crisis, but said the benefits of enhanced financial stability may outweigh the potential costs.

Overnight, gold futures erased overnight gains in North American trading on Tuesday, falling back towards a six-month low after data showed that U.S. retail sales rose more than expected in October, boosting optimism over the health of the economy.

The U.S. Commerce Department said that retail sales rose 0.8% last month, compared to expectations for a 0.6% increase. September retail sales increased 1.0%, whose figure was revised from an initial 0.6% rise.

Core retail sales, which exclude automobile sales, increased 0.8% in October, compared to forecasts for an advance of 0.5%. Core sales in September were revised to a 0.7% advance from the prior 0.5% gain.

A separate report showed that an index of New York-area manufacturing conditions turned positive in November for the first time in four months. The Empire Fed index rose 8.3 points to 1.5, on a scale where any reading above zero indicates improving conditions, the New York Fed said Tuesday.

The data comes after reports earlier this month showed a rapidly tightening labor market and signs of a recovery in the manufacturing sector, underscoring the economy's strength at the start of the fourth quarter.

Market analysts warned that the outlook for gold remains cloudy in the near-term. Prices of the yellow metal are down more than 6% over the past week amid optimism that increased fiscal spending and tax cuts under a Trump administration will spur economic growth and inflation, which would ultimately lead to an era of higher interest rates.

NYMEX, Brent mixed in Asia as Chinese industrial, retail data weaker - Sean Seshadri

Crude oil prices reversed course and fell in Asia on Monday as industrial output and retail sales data from China came in a tad weaker than expected.

On the New York Mercantile Exchange, crude oil for delivery in December ell 0.28% to $43.29 a barrel. On the ICE Futures Exchange in London, Brent oil for January gained 0.34% to $44.70.

China said fixed asset investment for October rose 8.3%, beating the 8.2% rise seen year-on-year and industrial production gained 6.1%, below the expected 6.2% rise seen and retail sales increased 10.0%, below the 10.7% increase seen.

Earlier, Japan reported third quarter GDP jumped 0.5% quarter-on-quarter and at a 2.2% pace year-on-year, handily beating expected gains of 0.2% and 0.9% respectively.

Oil futures tumbled to multi-week lows on Friday after OPEC reported that its crude production rose to its highest level on record and pointed to a larger surplus next year, despite an agreement to potentially cut output.

In its monthly market report published Friday, OPEC said that output from its own 14 members increased by 240,000 barrels per day (bpd) to 33.64 million in October, with
Nigeria, Libya and Iraq blamed for the increase.

With demand for OPEC crude in 2017 expected to average 32.69 million bpd, the report indicates there will now be an average surplus of 950,000 bpd if OPEC keeps output steady. Last month's report pointed to an 800,000-bpd surplus.

The bearish report came one day after the International Energy Agency warned that the market risks running another surplus in 2017 without an output cut from OPEC.

The IEA said global supply rose by 800,000 bpd in October to 97.8 million, led by record OPEC output and rising production from non-OPEC members such as Russia, Brazil, Canada and Kazakhstan.

The Paris-based organization kept its demand growth forecast for 2016 at 1.2 million bpd and expects consumption to increase at the same pace next year, having gradually slowed from a five-year peak of 1.8 million bpd in 2015.

The reports added to skepticism over the implementation of a planned deal by OPEC to limit production.

The oil group reached an agreement to cap output to a range of 32.5 million to 33.0 million barrels per day in talks held in Algeria in late September. However, OPEC said it won’t finalize details on individual output quotas until its next official meeting in Vienna on November 30.

The possibility that producers could walk away empty-handed from the November meeting looms large after Iraq, Iran, Nigeria and Libya all signaled they might not take part in the proposed production cut deal. Russia’s unclear stance is also fueling uncertainty.

Prices stayed lower after oilfield services provider Baker Hughes said late Friday that the number of rigs drilling for oil in the U.S. last week rose by 2 to 452, the 21st increase out of the last 24 weeks.

Prices were also weighed by evidence of rising crude supplies in the U.S., where weekly supply data on Wednesday showed a larger than expected build in oil stockpiles.

The U.S. Energy Information Administration said that crude oil inventories rose by 2.4 million barrels last week to 485.0 million, which the EIA considered to be “historically high levels for this time of year”.

After a historic week in which U.S. politics dominated market sentiment, investors will get back to the business of watching the Federal Reserve and economic data in the coming days as expectations mount for a December rate hike.

Meanwhile, market participants will eye fresh weekly information on U.S. stockpiles of crude and refined products on Tuesday and Wednesday to gauge the strength of demand in the world’s largest oil consumer.

Gold prices hold gains in Asia after China trade data disappoints - Sean Seshadri

Gold prices held gains on Tuesday in Asia in the wake of weaker than expected trade data from China and as cautious trade ruled ahead of the U.S. presidential election and note increased expectations of a Federal Reserve rate hike next month.

Gold for December delivery on the Comex division of the New York Mercantile Exchange rose 0.35% to $1,283.85 a troy ounce.

Also on the Comex, silver futures for December delivery gained 0.40% to $18.223 a troy ounce. Copper futures however dropped 0.22% to $2.307 a pound. Copper futures have been well-supported in recent sessions as traders bet that the global economy may be gaining momentum after a long period of sluggish growth.

In China, the trade balance for October came in a surplus of $49.06 billion, narrower than the $51.07 billion seen as exports and imports missed expectations as well. China is the world's top buyer of copper and second largest gold importer.

Overnight, gold prices were sharply lower during North American hours on Monday, as demand for safe-haven assets ebbed after the FBI said no new evidence was found to warrant charges against Hillary Clinton in the investigation of her emails just two days before the U.S. election.

The news lifted a cloud over Clinton's presidential campaign and possibly blunted momentum for rival Donald Trump.

Markets have tended to see Clinton as the status quo candidate, and news favoring her bid often boosts risk appetite, while weighing on assets perceived as safe.

Prices rallied to a more than one-month high of $1,309.30 last week, as polls showed a tightening U.S. presidential race.

Meanwhile, markets are also expecting a Federal Reserve rate hike next month after a government report on Friday showed solid jobs gains and a rise in wages in October. Investors were pricing in a 78% chance of a rate increase in December, according to Investing.com's Fed Rate Monitor Tool.