EUROPEAN COMMODITIES UPDATE: Gold loses its shine while Crude remains rangebound awaiting the next catalyst

Crude Oil: WTI Sep +0.5%, Brent Sep +0.5%

• Holding an upward bias following yesterday's gains on the back of trade optimism, with desks pointing out that Chevron's resumption of operations in Venezuela overlooked against the backdrop of trade developments.


• On trade, analysts at ING suggest "Ahead of the 1 August deadline, the US says it has managed to conclude several trade deals this week, including with Japan and the Philippines. It looks like talks with the EU are moving in the right direction. These deals should help reduce uncertainty and also ease some of the demand concerns that have been lingering in the oil market."


• Meanwhile, focus is also on the Iran/E3 meeting taking place today, with FT reports earlier suggesting European states are prepared to offer Iran an extension on a looming deadline to reimpose international sanctions if it agrees to conditions. That being said, Iran's Supreme Leader Khamenei's adviser said no country can stop the progress of Iran's nuclear program.


• Aside from that, newsflow during the European morning has been rather light as traders look ahead to risk events next week, including the August 1st tariff deadline on the day of NFP and ISM Manufacturing PMI, US-China talks, and a slew of earnings.


• WTI resides in a USD 66.05-66.74/bbl range with its Brent counterpart in a USD 69.21-69.86/bbl range at the time of writing.

Precious Metals: Gold -0.5%, Silver -0.4%, Palladium -1.0%

• Lower despite the cautious risk tone but amid a firmer Dollar as assets are seemingly sold in favour of cash heading into the weekend.


• News flow for the complex has been light this morning as participants await further trade headlines.


• Spot gold dipped under yesterday's low (USD 3,351.46/oz) as it eyes the 50 DMA to the downside (USD 3,341.27/oz) as it trades in a USD 3,344.64-3,373.50/oz parameter.

Base Metals: 3M LME Copper -0.5%

• Mixed trade across base metals in line with the broader tentativeness across the markets amid a lack of fresh catalysts.


• Overnight, iron ore futures notched its fifth straight weekly gains despite rising port inventories, with some desks pointing to rosier demand prospects amid the recent Chinese dam project.


• 3M LME copper resides in a narrow USD 9,821.45-9,887.75/t range at the time of writing.

25 Jul 2025 - 09:55- ForexGeopolitical- Source: Newsquawk