EUROPEAN COMMODITIES UPDATE: Crude benchmarks propped up by Russia/Ukraine, LME trade closed; Iran/E3 talks expected on Tuesday

WTI/Brent: +0.4%/+0.3%

• The crude complex trades with a modest positive bias on the first trading session of the week.


• On the geopolitical front, Ukrainian drones attacked an industrial facility in Russia’s Samara region which sparked a fire at Russia’s Novatek Ust-Luga terminal. However, Kazakhstan's energy ministry said the nation's oil exports had not been interrupted by the disruption. Aside from this, energy specific drivers are light.


• The next inflection point for energy benchmarks will likely be any developments to ceasefire negotiations in eastern Europe, with security guarantees and territorial concessions likely the focal points.


• On Tuesday, E3 and Iran are expected to hold nuclear talks; not expected to be a market-mover, though one to keep an eye on.


• WTI trades within a USD 63.53-64.03/bbl range, while Brent trades within USD 67.04-67.5/bbl

Gold: -0.2%

• Precious metals trade mixed. Palladium modestly outperforms despite weakness in auto stocks, while gold is softer amid a modestly firmer dollar, and a pullback from Fed Chair Powell’s dovish address on Friday.


• The yellow metal currently trades choppily within a USD 3,405-3,417/oz range, towards the top end of Friday's parameters with a high @3425/oz.


• LME trade is closed today amid the UK bank holiday.


• LME copper will welcome the upbeat sentiment from its largest buyer overnight; the metal traded firmer on Friday after dovish Fed repricing; 3M LME closed at USD 9,780/t.


• In other news and of note for Iron ore, Rio Tinto suspended operations at its SimFer mine in Simandou; Africa’s largest mining and related infrastructure project.

25 Aug 2025 - 10:00- ForexEU Research- Source: Newsquawk