EUROPEAN COMMODITIES UPDATE: Commodities broadly supported by a diving Dollar

Crude Oil: WTI Apr +0.4%/Brent May +0.4%

• A softer Dollar and somewhat stable risk sentiment (for now) provides the crude complex with scope to nurse some of yesterday's losses, after contracts settled lower by over USD 1/bbl apiece on Monday amid growth fears from US tariff policies.
• Complex-specific newsflow has been light today but traders look ahead to the EIA Short-term Energy Outlook, albeit forecasts will likely be overlooked given the fluidity of fundamentals - given the ongoing wars and tariff-related concerns. OPEC's MOMR is due on Wednesday and the IEA OMR on Thursday.
• WTI currently resides in a USD 65.29-66.42/bbl range while its Brent counterpart sits in a USD 68.63-69.72/bbl band.

Precious Metals: Gold +0.7%, Silver +1.1%, Palladium +0.2%

• Firmer trade across all precious metals as the Dollar dipped to levels last seen in October 2024.
• Spot gold nursed some of the prior day's losses and reclaimed the USD 2,900/oz level to the upside as it currently sits in a USD 2,880.25-2,911.73/oz parameter vs Monday's USD 2,880.31-2,918.39/oz range.
• BofA expects Platinum to outperform Palladium going forward and expects a Platinum deficit and Palladium surplus for 2025, adding that Lingering concerns over trade disputes may mean that PGMs get stranded in the US for a bit longer, potentially limiting liquidity in other markets.

Base Metals: 3M LME Copper +0.7%

• Modest gains across the board but with price action somewhat muted given the magnitude of the fall in the Buck, although participants are cognizant of tomorrow's US CPI release alongside the 25% US tariff on all steel and aluminium imports coming into effect, with "no exceptions or exemptions".
• Chile's Cochilco Copper Production (Jan, tonnes): Codelco -4% Y/Y to 102.7k, Escondida +12% at 109.4k, Collahuasi -46.4% Y/Y at 28k.
• 3M LME copper printed on either side of USD 9,500/t and currently resides in a USD 9,460.95-9,602.00/t range.