HSL Prime Research Commodity Daily Report 23 July 2026

GLOBAL MARKET ROUND UP

Precious metals retreated on Thursday after rallying to a two-week high in the previous session, as investors turned cautious ahead of next week’s Federal Reserve policy meeting. Rising oil prices, driven by escalating tensions in the Middle East, renewed inflation concerns and reinforced expectations that the Fed will maintain a restrictive monetary policy for longer, weighing on bullion prices.

Geopolitical risks remained elevated after Iran-backed Houthi militants claimed attacks on two Saudi oil tankers in the Red Sea, heightening concerns over broader energy supply disruptions. Meanwhile, U.S. forces launched a 12th consecutive day of strikes on Iran aimed at curbing threats to commercial shipping, while Tehran reportedly retaliated by targeting Kuwait.

Despite the recent rebound, uncertainty over sustained follow-through buying persists. Escalating geopolitical tensions continue to support crude oil prices and fuel inflationary pressures, limiting gold’s sustainable upside potential as investors remain cautious ahead of key monetary policy signals from the Federal Reserve.

Crude oil prices climbed to around $88 per barrel on Thursday, the highest level in six weeks, as escalating geopolitical tensions heightened concerns over potential supply disruptions across key global shipping routes. Market sentiment remained supported after Iran-backed Houthi militants reportedly attacked two Saudi oil tankers in the Red Sea, raising fears of broader disruptions to energy supplies. Meanwhile, prospects for a diplomatic resolution remained dim, with both sides downplaying the likelihood of peace talks. President Donald Trump also warned of further strikes on Iranian infrastructure, keeping the geopolitical risk premium firmly embedded in oil prices.

Natural gas prices edged higher ahead of today’s EIA storage report, while traders monitored Tropical Storm Bertha’s path along the U.S. Gulf Coast for potential impacts on LNG operations. Weather forecasts suggest Tropical Storm Bertha is likely to have only limited effects on LNG export facilities and domestic natural gas demand.

Copper advanced in Asian trading as supply tightness in China continued to support prices, with the physical copper premium rising to around $100 per metric ton from approximately $20 in February.

Markets will closely watch today’s ECB policy decision, U.S. jobless claims, and the natural gas storage report for fresh direction across financial and commodity markets.