Commodities Wrap: Gold Slips Toward US$4,120 as the Dollar Firms
Gold edged lower at the start of Wednesday’s trading, slipping toward US$4,120 an ounce as a stronger US dollar and a more hawkish reading of Federal Reserve policy continued to weigh on precious metals. Silver fell alongside it, while oil was little changed and natural gas firmed slightly.
Price strip (intraday, early 24 June)
- Gold (COMEX): around US$4,122.8 per ounce, down about 0.6 percent
- Silver (COMEX): around US$61.6 per ounce, down about 0.8 percent
- Brent crude (Aug): around US$77.08 per barrel, broadly unchanged near the prior settlement
- WTI crude (Aug): around US$72.93 per barrel, down about 0.4 percent
- Copper (COMEX): around US$6.13 per pound, down about 0.3 percent
- Henry Hub natural gas (Jul): around US$3.16 per MMBtu, up about 0.3 percent
Prices from CNBC front-month futures; percent change vs the prior session settlement. Levels are indicative because futures prices move continuously and may differ across data providers, timestamps and active contract conventions.
Gold and silver soften again
Precious metals stayed under pressure as the US dollar held near its strongest level in more than a year and markets leaned toward a more hawkish Federal Reserve. Gold traded near US$4,122.8 an ounce, down about 0.6 percent, while silver eased about 0.8 percent to around US$61.6. A firmer dollar and the prospect of higher for longer US rates reduce the appeal of non yielding assets, extending the pullback in gold from its earlier 2026 highs.
Oil steadies
Crude was broadly steady, with Brent near US$77.08 a barrel and US West Texas Intermediate near US$72.93, as the market continued to weigh supply availability against demand signals after recent volatility. For energy markets, the focus remains on whether supply stays comfortable through the second half of the year and whether demand, particularly from China and seasonal consumption, holds up.
Base metals and gas
Copper slipped about 0.3 percent to around US$6.13 a pound, tracking cautious risk sentiment and the stronger dollar. Natural gas at Henry Hub bucked the trend, edging up about 0.3 percent to around US$3.16 per million British thermal units.
Why it matters for the region
For Gulf producers, steady crude prices keep hydrocarbon revenue broadly supported, with the market still digesting recent swings rather than signalling a clear shift in fundamentals. For gold, the softer tone trims the mark to market value of regional official and private holdings, though the longer term case for the metal remains tied to reserve diversification and central bank demand, even as the near term path stays sensitive to the dollar and US rates.
Outlook
Precious metals will continue to take their cue from the dollar, US yields and upcoming US inflation data, with sustained hawkish Fed signals likely to keep gold and silver on the back foot. For oil, attention turns to supply availability and demand indicators, while copper remains sensitive to Chinese industrial activity and broader risk appetite.
Sources: CNBC front-month futures (Brent, WTI, gold, silver, copper and Henry Hub natural gas); ICE US Dollar Index (CNBC).
