Crude oil prices fell even as JODI data showed that exports from Saudi Arabia – a bellwether for OPEC – fell to the lowest level in almost two years in February. While that might have been expected to boost confidence in the cartel’s production cut scheme, investors seemed more concerned with signs that growing swing supply may offset coordinated output reduction.

On that front, API reported that US inventories shed 840k barrels last week, less than the 1.03 million barrel drawdown expected to be reported in official EIA data due today. Prices may continue to move downward if that outcome registers closer to API’s projection. Comments from industry bigwigs from the sidelines of the GCC Petroleum Media Forum in Abu Dhabi may also prove market-moving.

Gold prices rose as Federal Reserve rate hike bets deteriorated, boosting the appeal of non-interest-bearing assets. Treasury bond yields fell with the priced-in 2017 tightening path implied in Fed Funds futures and the US Dollar. Risk aversion swept European and US exchanges, sending capital fleeting to the haven of government bonds and casting doubt on the Fed’s appetite for stimulus withdrawal amid market turmoil.

The spotlight will be on the Fed Beige Book survey from here. The markets have grown worried about slowing growth in the first quarter so sanguine-sounding report that seems to keep the US central bank on track to deliver the expected three rate hikes this year may offer a lift to the US Dollar. Boston Fed President Eric Rosengren – a vocal proponent of rate hikes – is also scheduled to speak.

Needless to say, sentiment trends and their knock-on effects on yields remain an important consideration. S&P 500 index futures are on the rebound ahead of the opening bell in Europe. As one might expect, Treasury bond rates and the greenback are following suit. This bodes ill for the yellow metal if it continues, but it may yet be that Asia-session price action is merely corrective before another risk-off wave batters markets.