Crude Oil
Crude slipped as much as 0.5 percent in London. U.S.crude inventories probably dropped by 1 million barrels last week. Libya’s Hariga export terminal may reopen within two days after protests prevented loadings, National Oil Corp. said yesterday. WTI advanced 3 percent in May, the first monthly gain since February, as crude inventories shrank at the delivery point for New York contracts. Supplies at Cushing fell to 21.7 million barrels through May 23, according to the EIA, the Energy Department’s statistical arm. That’s the lowest level since November 2008.
Gold
Gold dropped in the previous six sessions, the longest slump since Aug. 6, after equities rose to a record and the dollar climbed to an eight-week high against a basket of 10 major currencies, eroding the appeal of the metal as an alternative investment. Gold fell, capping the longest slump since August, as a rally in global equities curbed demand for alternate investments. The metal touched a 17-week low, partly as tensions eased in Eastern Europe. A majority of Russia’s forces have withdrawn from the border with Ukraine, a U.S. Pentagon spokesman said on May 30. Hedge funds pared bets on a gold rally at the fastest pace this year. Hedge funds pared bets on a gold rally at the fastest pace this year after prices capped the biggest monthly decline since December. Money managers trimmed their net-long position by 24 percent as a rally in U.S. equities to a record eroded the appeal of alternative assets. Short holdings are now the highest in 15 weeks and assets in exchange-traded products backed by metal the lowest since 2009.
