HSL Prime Research Commodity Daily Report: 20 August 2026

GLOBAL MARKET ROUND UP

Gold hovered near its highest level in more than two months on Thursday, while silver climbed above $67 an ounce to its highest levels since June 18, 2026. Precious metals were supported by a sharp decline in the U.S. dollar and Treasury yields after the U.S. Treasury announced plans to more than double its repurchases of 10-, 20- and 30-year debt over the coming months, helping ease pressure in the long-end of the bond market.

The dollar remained near a three-month low as investors assessed the Treasury’s measures, while falling yields improved the appeal of non-yielding assets. However, the minutes of the Federal Reserve’s July meeting showed that some policymakers favored raising interest rates later this year to contain the risk of renewed inflationary pressures, which could limit the upside in precious metals.

Technical Outlook: The near-term trend for precious metals remains positive. Spot gold has immediate resistance at $4,594; a sustained break above this level could open the way toward $4,700.

Crude oil held near $86 per barrel on Thursday after gaining more than 1% so far this week, supported by elevated geopolitical risks as the U.S. and Iran remained at an impasse. Tensions around the Strait of Hormuz remained a key focus. President Donald Trump said oil continues to flow through the waterway while indicating that he could be open to resuming talks with Tehran.

Meanwhile, the UAE suspended financial and economic transactions with Iran after accusing Tehran of launching ballistic missiles at its territory, adding to pressure on the Iranian economy.

Despite the heightened risks, Gulf producers have continued moving significant volumes of crude through alternative routes and direct shipments, helping limit immediate supply disruptions. On the inventory front, EIA data showed U.S. crude stockpiles increased by 4.4 million barrels last week, while distillate inventories fell by 1.5 million barrels to their lowest level in more than a month.

Natural gas futures climbed to a near four-week high amid forecasts for hotter weather and firm energy prices, with the market now awaiting the latest storage data.

Copper remained broadly range-bound around $14,000 as investors balanced tight physical supply against ongoing macroeconomic uncertainty. A weaker U.S. dollar and bargain buying at lower levels provided support, limiting the downside and keeping the broader tone constructive.