* Price of gold and oil dropping
The Euro yesterday depreciated on the international market, after Standard & Poor's warned it might downgrade 15 words in the Eurozone, as well as the rating of bonds of the European Financial Stability Fund (EFSF). Moritz Kraemer, head of the sovereign rating division of S&P in New York, said that the rating of EFSF was put on watch with a negative outlook.
The Euro lost 0.1% at 10:12 on the New York market, reaching 1.3384 dollars.
Analysts say that all of the current news is affecting the dynamic of the Euro, but the most important event is the EU summit scheduled for December 8th-9th, which will set the trend for the following weeks.
The S&P warning also led to losses on the oil market, as investors worry that the Eurozone will enter a recession, affecting demand for energy. In 2010, the European Union generated 16% of the global demand for oil, according to BP Plc. The United States, the world's largest oil consumer, accounted for 21% of the total demand (19.1 million barrels a day).
The price of oil with January delivery fell 37 cents (0.4%) from 10:18, on the New York Mercantile Exchange, to 100.62 dollars/ barrel. On the ICE Futures Europe in London, the price of Brent oil with January delivery fell 5 cents (0.1%), to 109.76 dollars/barrel.
Also yesterday, the price of gold with February delivery fell 25.7 dollars (1.5%) at 10:19, on Comex New York, reaching 1,708.8 dollars/ounce. Silver also fell 1.75, to 31.83 dollar/ounce.
According to the specialists of "Goldman Sachs Group" Inc., the price of gold will rise in 2012, provided interest rates stay low. It needs to be reminded that this year, the price of gold reached an all-time high of 1,923.70 dollars ounce (September 6th), after the central banks increased their purchases, and investors grew their placements in gold.
A.V.
