Crude Oil
Oil prices carried Monday's selloff into Tuesday as investors ignored upbeat U.S. data, ditching the commodity on perceptions that the global market is awash in crude at a time geopolitical pressures are waning. Despite concerns that violence could flare up anew in Ukraine or Iraq and threaten global crude shipments, oil prices dropped on fears supply levels remain well above what's needed to meet worldwide demand. And while talks between Russian and Ukraine diplomats have to end in resolution, they are making progress, which pushed prices down and offset upbeat data in the U.S., the world's largest consumer of oil.
Gold
Gold prices dipped on Tuesday after upbeat U.S. housing and consumer inflation cemented expectations for the Federal Reserve to chip away at its ultra-loose monetary policies that have supported the precious metal for years. Gold prices edged lower after the U.S. Commerce Department said that the number of building permits issued in July jumped 8.1% to 1.052 million units from June’s total of 973,000. Analysts expected building permits to rise by 2.5% to 1.0 million units in July. The report also showed that U.S. housing starts soared by 15.7% last month to hit 1.093 million units from June’s total of 945,000, far past expectations for an increase of 8.6% to 969,000 units. A separate report showed that the U.S. consumer price index rose 0.1% last month from June and 2.0% on year, both figures meeting estimates.
