Oil Prices Hold Above $100 Amid US-Iran Tensions and Market Volatility

Global Commodity Markets Open on a Mixed Note Amid Macroeconomic Uncertainty

Commodity markets began the day on a mixed note on May 4, as investors carefully assessed evolving global macroeconomic cues, currency movements, and shifting demand trends across major economies.

The gold market took a hit, with prices declining 0.3% to $4,599.45 per ounce, as investors remained cautious due to persistent inflation concerns that continue to cloud the outlook for US monetary policy. Meanwhile, spot gold futures for June delivery slipped 0.7% to $4,611.40 per ounce.

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Oil prices eased slightly after a statement from Donald Trump indicated that the United States would initiate efforts to free ships stranded in the Strait of Hormuz. However, the absence of a concrete US–Iran peace agreement continued to keep crude prices supported above the $100 per barrel mark.

Brent crude futures fell 64 cents, or 0.59%, to $107.53 a barrel after settling down $2.23 on Friday. US West Texas Intermediate was at $101.10 a barrel, down 84 cents, or 0.82%, following a $3.13 loss on Friday.

Silver prices rose 0.3% to $75.57, while platinum and palladium advanced. In currency markets, the dollar was a shade softer as investors waited for more developments in the Middle East and, crucially, whether the Strait of Hormuz could be opened.

Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline