Fundamental Comment

European shares rise, commodities show volatility

European shares rise, commodities show volatility

European shares rose during Wednesday trading, amid hopes by investors that the countries will ease the closure measures in the upcoming period while the commodity market saw a lot of volatility as gold rose and oil fell.

As of 10:32 GMT, the Euro Stoxx 50 index rose by 0.82 percent to trade near 2 2,814.14 points.

Britain’s FTSE 100 Index also ascended to 5,727.03 points, bringing its rise today to about 1.52 percent.

The series of losses in the European stock market did not exclude the German DAX 30 index, which surge about 0.95 percent and now settles near 10,344.36 points.

The French CAC also joined the wave of gains, reaching 4,376.00 points, up 0.43% percent.

European shares performed well at the same time as volatility continued to dominate the oil and gold markets, with US crude losing sharply followed by a relative recovery over the past two days, with Brent crude falling below $19.98 per barrel.

West Texas Intermediate (WTI) crude futures traded at $11.41 per barrel, while the lowest level recorded during the session was at 10.28, noting that during Monday’s session the lowest level recorded was at $-40.32 per barrel.

Oil supplies piled up as a result of the collapse in demand, where markets are facing another crisis: the lack of enough space to store oil.

Investors are looking closely at official US oil inventories data due to be released later in the day, amid expectations of an increase of about 15 million barrels last week.

By contrast, gold prices have risen during today’s session after touching the lowest level in two weeks on Tuesday.

Meanwhile, spot gold hovered around $1,701 an ounce, where the precious metal touched its highest level during the session at $1,706.80.

On the other hand, concerns about the Coved-19 virus, with nearly 2.6 million people living around the world were infected by it, continues with the fact that the United States is the hardest hit country, while China reported only 30 new cases yesterday.

Meanwhile, the dollar index, which measures the performance of six major currencies against the US dollar, slumped by 0.12 percent at 100.26.

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