EUROPEAN COMMODITIES UPDATE: A softer start for crude though benchmarks are off lows, XAU at another ATH

WTI/Brent: +0.2%/+0.2%

• A softer start to the session for crude, at most benchmarks lower by around USD 0.45/bbl. However, across the European morning the benchmarks have been gradually lifting off lows and moving to just above the unchanged mark on the session.


• Currently, towards the upper-end of USD 61.85-62.53/bbl and USD 66.10-66.75/bbl parameters for WTI and Brent respectively.


• Specifics a little lighter today but just as pertinent following reported drone incidents at several Scandinavian airports. Potential insight on this and events of recent days may be drawn from the UN General Assembly, with President Trump set to speak at 14:50BST. A sideline to the UN is a meeting between Trump and Arab leaders, during which Trump is expected to present principles for ending the Gaza war.


• Elsewhere, the EU and E3 will be meeting the Iranian Foreign Minister at 15:00BST. The meeting occurring today is in-fitting with recent reports and comes ahead of the snapback sanctions against Iran coming into effect at end-September.

Gold: +0.8%

• Continuing to climb and at another ATH of USD 3780/oz. A high that occurred after a Bloomberg report that China is aiming to become a custodian of foreign sovereign gold reserves as it aims to improve its standing on the global bullion market.


• Prior to this, the narrative for gold hadn't really changed, with the strength underpinned generally by the Fed’s easing cycle, day-to-day by ongoing geopolitical headlines and aided by numerous desks lifting their forecasts for the precious metal.


• Impetus ahead may be drawn from the numerous Central Banks speakers, Chair Powell is the on-paper highlight, in addition to US flash PMIs.

Copper: -0.1%

• Copper picked up overnight in reaction to the strong US risk tone amid the NVIDIA and OpenAI update. However, the complex failed to glean much from this with 3M LME Copper dipping back below the USD 10k/t mark and into the red.


• A pullback that came alongside the underperformance in China, as the region failed to sustain the tech induced strength seen at the US handover. Catalysts for the region sparse with attention primarily on super typhoon Ragasa. Ahead of this, several areas of China have seen partial evacuations and is expected to "pose a serious threat" to Hong Kong.

23 Sep 2025 - 10:20- ForexGeopolitical- Source: Newsquawk