Gold and Oil Fall Lower

On the commodity front – both Gold (GOLD) and Crude Oil fell overnight.

Gold

Gold and Gold futures ended down overnight as investors continued to wait for some indication that the US and European Governments are going to do something else to fix the financial markets. Clearly, whats being done at the moment is just not enough.

It was expected that gold was going to skyrocket given the current market turmoil, as is typical of gold during uncertain times, but gold has resistant this trend and make investors wary as a result. The precious metal closed down $70 for the session overnight, which indicates that people still believe there cash is worth more. In addition, it would seem that given basically the market crashed – a lot of investors had to make up margin calls on new positions created when the market surged on Monday. Gold for December, closed down $0.50 cents to finish at $839 an ounce.

Crude Oil

Crude Oil closed below $75 a barrel to close at $74.54 – down $4.09 – for the first time in almost 14 months as OPEC released data indicating that demand for crude was going to drop. It’s new predictions indicate that “only” 31.14 million barrels per day (bpd) will be required in 2009 – down 190,000 bpd from projections released last month. The September OPEC output was at 32.16 bpd in September – down 310,000 bpd from the month before. It is now expected that OPEC is going to cut the bpd rate by 1 Million barrels during the November 18. extraordinary meeting that was arranged when the price of oil started sky rocketing over the past few months.