Crude futures dropped sharply today as the dollar strengthened and demand concerns cropped up. Further pressure came from traders expecting supplies to rise due to delays at U.S. refineries that are closed for maintenance. November-dated crude finished the day $2.02 lower at $79.02 per barrel. With a lack of data, the dollar rose against key currencies, which pushed black gold lower. In addition, the weather premium is being removed from the picture as hurricane season is coming to a close.
Gold futures also came under pressure as the dollar advanced on thin volume thanks to the Columbus Day holiday. December-dated gold dropped $8.50 (1.1%) to $738.70 an ounce. The U.S. dollar gained strength from a meeting of European finance ministers, who are trying to apply downward pressure on the euro, which has risen to record highs thanks to the sliding dollar. Other metals finished the day lower, with palladium, copper, silver, and platinum all falling.