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MTrading Team • 2022-02-24

Russia-Ukraine Conflict causes significant price fluctuations in Oil, Gold, NGAS, and some other major assets

Russia-Ukraine Conflict causes significant price fluctuations in Oil, Gold, NGAS, and some other major assets

The eyes of the world are now firmly fixated on the current military tension within Ukraine, as Russia has now mobilised military action within the country.

The UK, the USA, and several other major nations have also introduced several sanctions on Russia (which include financial sanctions). All of these developments have inevitably had a massive impact on the financial markets. 

Will Gold continue to increase?

Gold prices have increased by a huge margin, as they were originally sitting at around £1,411.70 on February 23rd, and they have now shot up to a trading price high of £1,470.00.

In connection with Gold, ETF contracts have also risen significantly, now that there is an increased interest in purchases of the precious metal.

Given the reasoning behind why Gold prices have risen so rapidly, it is important to keep in mind that the metal will continue to perform in a highly volatile manner, as the world’s governments continue to come to some sort of resolution for the matter.

Brent Oil is looking good, but for how long?

Brent Oil prices have also experienced a huge increase, as it was traded at 97.250 on February 23rd, and has now risen to a significant high of 104.673.

NGAS prices surge

Natural gas prices have shot up significantly, and this is most likely a result of financial spectators pondering whether or not the supply of gas from Russia to the rest of Europe will be halted or significantly reduced.

The price has increased from 4.5875 to 4.8888 in the past 24 hours.

The declining cryptocurrency markets

Elsewhere, BTC has experienced a huge drop, as it lost around 3,000 in value during a day. Originally trading at around $38,884.08, it has now dropped to $35,183.06 (though there do appear to be encouraging signs that it might bounce back).

ETH has also experienced losses within the last 24 hours. Originally trading at around 1,993.38, it actually pushed through and hit 2,000 USD, however, this was short-lived, and the popular cryptocurrency lost around 200 USD in value.

NASDAQ remains bearish

The NQ100 continues its downward spiral in 2022, leading many to speculate if it is likely to recover in the first quarter of this year. Within the past 24 hours the price has dropped from around 16800.0 to as low as 13092.9.

Current predictions

It is predicted by many financial experts that Gold could test for $1935 per troy ounce, while Silver might also test at $25 per troy ounce. 

Brent Oil could potentially test for 108.000 in today or tomorrow’s trading windows, and it has been on a steady upward increase since December 2021. 

However, given the current developments with Russia and the Ukraine, traders will need to be wary, as Brent will likely experience significant price fluctuations within the coming week.

On the cryptocurrency trading front, it is hard to say for sure, but many speculators anticipate that ETH will strive onward and recapture some of the price levels it has previously hit, while Bitcoin is remaining highly volatile in 2022.

NGAS prices will most likely continue to increase until the military tensions within the Ukraine area come to a halt. For the time being, it is likely they will continue to soar.

Given the current performance this year, the NQ100 is not likely to recover anytime soon. It is also likely that the current military tension within Ukraine is having an adverse effect on the NQ100, so it is not likely to recover until there are more positive developments in that area.

- GOLD  £ 1,411.70 -> £1,470.00 (↑)

- DJI30 $ 33,680.97-> $ 33,131.76 (↓) 

- BRENT $ 97.250 -> $ 104.673 (↑)

- BTC $ 38,884.08 -> $35,183.06 (↓) 

- ETH $ 1,993.38 -> $ 1,759.40 (↓) 

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May the trading luck be with you!