HS Prime Research Commodity Daily Report: 21 August 2026

GLOBAL MARKET ROUND UP

Gold traded above $4,500 an ounce on Friday and remained on track for a third consecutive weekly gain, supported by safe-haven demand amid heightened volatility across currency and bond markets.

The precious metal surged more than 4% on Wednesday after the U.S. Treasury announced plans to at least double its long-term debt buybacks to help contain borrowing costs, triggering a sharp decline in Treasury yields and the U.S. dollar. Although yields subsequently recovered as investors questioned whether the Treasury’s measures would provide a lasting solution to elevated long-term borrowing costs, gold managed to hold most of its gains.

Underlying demand also remains supportive, with robust investment flows and continued central-bank purchases, particularly from China, providing a strong foundation for prices.

The near-term trend for precious metals remains positive following the break above the previous resistance zone. Spot gold faces immediate resistance at $4,594, with a sustained break above this level potentially opening the way toward $4,700. Failure to clear resistance could trigger minor profit-taking, with key support at $4,424 and $4,380.

Crude oil traded above $86 per barrel on Friday and was on track for a second consecutive weekly gain, rising nearly 6% so far this week. Persistent tensions between the U.S. and Iran continued to support prices, with uncertainty surrounding the reopening of the Strait of Hormuz remaining a key concern for the market.

The prolonged standoff has raised fears of further delays in restoring normal shipping through the strategic waterway, as both sides continue to exchange strong rhetoric with little sign of progress toward a diplomatic resolution. Meanwhile, the U.S. is preparing to intensify economic pressure on Iran in what President Donald Trump described as an “economic D-day,” with further details expected Monday.

Natural gas futures settled lower on Thursday, pressured by forecasts for cooler U.S. temperatures that could reduce demand from power generators. Prices also came under pressure after the latest EIA storage report showed a larger-than-expected inventory build.

Copper gained in early Asian trading, supported by dollar weakness and expectations of continued supply tightness.