Crude Oil Prices Firm Amid Escalating Tensions in the Gulf Region, Gold Headed for Weekly Decline

Global Markets Trade on a Mixed Note Amid Geopolitical Concerns

Commodity markets experienced a mixed performance on June 5 as investors closely monitored developments in geopolitics, currency fluctuations, and the global demand outlook. The market sentiment remained cautious due to diminishing hopes of a near-term resolution to the US-Iran conflict.

Crude Oil Prices Remain Steady

Crude oil prices were relatively stable after witnessing significant losses in the previous session. Brent crude futures declined by 0.22 percent to $95.24 per barrel, while U.S. West Texas Intermediate (WTI) crude eased 0.11 percent to $92.94 per barrel. Despite the latest decline, both benchmarks are poised to record their first weekly gain in three weeks, with WTI advancing more than 6 percent this week amid heightened geopolitical concerns in the Middle East.

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Gold Prices Edge Lower Amid Uncertainty

Gold prices also decreased, heading towards a weekly decline as investors weighed persistent geopolitical uncertainty alongside concerns over inflation and the prospect of higher interest rates. Spot gold fell 0.3 percent to $4,462.22 per ounce, taking its weekly loss to around 1.6 percent. US gold futures for August delivery declined 0.4 percent to $4,489 per ounce.

Currency Market Remains Firm

In the currency market, the US dollar remained firm, supported by safe-haven demand. The dollar index, which tracks the greenback against a basket of major currencies, was little changed at 99.434 and is on course for a weekly gain of around 0.5 percent.

Read also: MCX Gold Price Surpasses ₹1.59 Lakh per 10 Grams, Silver Gains Amid Hopes for US-Iran Diplomatic Resolution

The euro traded marginally higher, and sterling was steady against the dollar. Both currencies are set to register modest weekly losses against the dollar. Meanwhile, the Japanese yen hovered near the psychologically important 160-per-dollar level, drawing renewed attention from Japanese policymakers as investors continued to favour the US currency amid escalating Gulf tensions.