19/08/2013 (Borneo Post) - The US economy showed jobless claims dropped to 320,000 in the week ended August 10, lowest record since October 2007.

Inflation rose 0.2 per cent in July while builders’ confidence in housing indicated rising demand for houses.

Egypt’s civil unrest put crude supply on alert and supported the demands for energy commodities.

Gold has been rising as the fear in tapering US stimulus shifted funds out from stock and bond markets into yellow metal.

Gold prices reversed up last week as yellow metal moved inversely to weakening Dow Jones Industrial Average (DJIA) trend.

The trend may continue to reach up for 1,390 regions should the sentiment continue to be short-squeezed.

In technical terms, we reckoned the supports have been identified at S1-1,353 and S2 -1,338 levels if correction occurs.

However, trading above 1,370 levels is an indication for bullish trend.

WTI Crude prices have been bullish from fear in Egypt’s riot.

The market stayed firm throughout the week and could potentially trade within the range of 105 to 109 regions in coming week.

However, beware if the bulls break above 109.

This may lead the surge to 112 regions due to further fundamental push.

On the other hand, downside potential may consolidate at 105 if situation mitigates.

Breaking beneath 105 will result in the 102.20 area which is our next lower support.

Crude Palm Oil Futures (FCPO) on Bursa Derivatives closed higher on stronger export data released last week.

The market resumed its trading activities after mid-week and closed higher as all commodities traded in former sentiment.

The newly roll-over month in November closed at 2,305 on Friday.

This week, we foresee the market will trade with support at 2,250 while topside potential may test 2,400 levels.