EUROPEAN COMMODITIES UPDATE: Gold edges higher amid the cautious mood; copper propped up by Chinese PMI

Crude Oil: WTI Aug +0.2%, Brent Sep +0.2%

• Modest gains in crude futures despite the cautious risk tone, but in park amid a slide in the Dollar.


• Meanwhile, a couple of notable gepolitical headlines were reported this morning, 1) Iranian Government says there is no date or decision on negotiations with Washington, 2) "No breakthrough in Gaza negotiations and a large-scale campaign aimed at increasing pressure on Hamas remains an option", according to Sky News Arabia citing Israeli press.


• Aside from that, complex-specific newsflow has been light, with focus slowly shifting to OPEC+ this weekend, with the group expected to agree to another increase of 411k BPD.


• WTI resides in a USD 64.67-65.32/bbl range while Brent sits in a USD 66.31-66.97/bbl range.

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

• Firm trade across precious metals with mild outperformance in palladium, followed by gold.


• Spot gold gradually edged higher above the USD 3,300/oz level following recent dollar weakness and as participants brace for upcoming data releases, with the yellow metal back above its 50 DMA (USD 3,320.50/oz) with the current high at USD 3,342.50/oz ahead of USD 3,350/oz - which marks the recent high from 26th June.

Base Metals: 3M LME Copper +0.7%

• Boosted following the better-than-expected Chinese Caixin Manufacturing PMI data, with the red metal rising to a three-month peak. Some desks also suggest a supply squeeze and trade hopes.


• 3M LME copper resides in a USD 9,862.60-9,986.20/t range at the time of writing.

01 Jul 2025 - 10:20- MetalsEU Research- Source: Newsquawk