Oil and Gold Retreat Amid Market Anticipation for OPEC+ Meeting and U.S. Jobs Data
Amid global market volatility and ongoing developments in trade and energy,
oil and gold prices have shown notable movements this week,
as investors brace for key production decisions and critical economic indicators.
Contents:
Oil
Loses Momentum After Strong Gains as Attention Turns to Production Decisions
Oil prices declined at the end of the week after posting their strongest daily gains in nearly two weeks,
with markets closely watching the upcoming OPEC+ meeting scheduled for Sunday,
which is widely expected to result in a significant increase in production quotas.
Brent crude traded near $69 per barrel after rising 3% on Wednesday, while West Texas Intermediate (WTI) exceeded $67 per barrel.
This drop comes amid sharp volatility in recent weeks,
driven by geopolitical tensions in the Middle East and lower trading volumes ahead of the U.S. Independence Day holiday.
Notably, markets received a temporary boost in sentiment after U.S. President Donald Trump announced a trade agreement with Vietnam — the third deal following earlier agreements with the UK and China — just ahead of a July 9 deadline for reaching further accords.
However, analysts caution that this optimism may be short-lived,
as the fundamental market dynamics remain uncertain, particularly regarding future global demand and production quotas.
Gold
Retreats Ahead of Crucial Jobs Data, but Long-Term Support Remains Strong
Meanwhile, gold prices fell after three consecutive sessions of gains, trading near $3,345 per ounce.
The decline comes amid cautious anticipation for the U.S. jobs report due Thursday,
which could shape the Federal Reserve’s upcoming monetary policy decisions.
Expectations suggest the U.S. economy added only 106,000 jobs in June — the lowest monthly gain in four months.
This slowdown, coupled with an ADP report showing the first decline in private employment in over two years,
has led markets to price in at least two rate cuts before 2026.
Despite the recent dip, gold remains supported by strong underlying factors — notably geopolitical tensions,
robust central bank purchases, and growing concerns over the U.S. fiscal deficit.
If President Trump’s proposed tax plan is approved, it could add an estimated $3.4 trillion to the national debt over the next decade.
Gold is also seeing seasonal support due to a heat wave and the driving season in the U.S.,
both of which are boosting demand for safe-haven assets — with gold at the forefront.
Oil and Gold Retreat Amid Market Anticipation for OPEC+ Meeting and U.S. Jobs Data