HSL Prime Research Commodity Daily Report: 03 September 2026

Global Market Round Up

Precious metals extended their recovery on Thursday morning after rebounding in the previous session, supported by a pullback in the U.S. dollar and Treasury yields. Comments from New York Fed President John Williams also provided some relief after he said there was evidence that inflation continues to ease as the impact of tariffs fades, while higher energy prices have not yet spread broadly into other services.

Meanwhile, data released on Wednesday showed that U.S. private employment growth slowed in August, adding to signs of some cooling in the labor market. However, markets still price in around a two-thirds probability of a Fed rate hike later this month following Chair Kevin Warsh’s hawkish remarks last week. The U.S. dollar index slipped to around 99.95 on Thursday, extending the previous session’s losses as a sharp rally in the Japanese yen weighed on the greenback. Speculation that Japanese authorities may intervene to support the yen further added pressure on the dollar, providing additional support to precious metals.

Crude oil held above $90 per barrel on Thursday after rising for three consecutive sessions, as investors assessed renewed hostilities in the Middle East alongside ongoing efforts to reopen the Strait of Hormuz. President Donald Trump said the latest attacks on Iran would be short-lived, while maintaining that the U.S. remains prepared to launch further strikes if necessary. The U.S. carried out fresh attacks on Iranian targets around the strategic waterway this week, ending roughly a month of relative calm, with Tehran responding through drone and missile attacks on American bases across the Middle East. Despite the renewed tensions, crude shipments continued to move through the Strait of Hormuz at an estimated average of around 8 million barrels per day, helping ease immediate concerns over a complete supply disruption. Meanwhile, U.S. official data showed crude inventories fell by 4.5 million barrels last week, marking the first decline since late July and providing additional support to oil prices.

Copper remains supported by renewed concerns over global supply after China’s July output reportedly declined sharply due to severe weather and mine maintenance.

Today’s U.S. jobless claims, services data and Fed Governor Waller’s comments will be closely watched. Weak data could support gold, while stronger numbers or hawkish signals may revive rate-hike expectations and pressure precious metals.