Commodity markets remained active today as investors monitored Middle East developments, ongoing U.S.- Iran negotiations, and global supply dynamics. Energy prices extended recent gains amid concerns over potential supply disruptions and tightening crude inventories, while metals markets were mixed as precious metals softened and industrial metals continued to benefit from long-term demand trends tied to electrification, infrastructure investment, and constrained supply.
Oil & Gas:
Energy markets advanced for a third consecutive session as geopolitical tensions in the Middle East kept supply concerns in focus. Crude prices rose following reports of military activity involving Iran, Kuwait, and U.S. forces, while a larger-than-expected U.S. crude inventory draw reinforced the view that global oil markets remain tight.
Industry data showed U.S. crude inventories declined by 6.75 million barrels, well above expectations for a 4 million barrel draw. Meanwhile, U.S. crude exports continue to reach record levels, supported by strong demand from Asian refiners. Investors will closely watch upcoming government inventory data and the June 7 OPEC meeting for further market direction.
Natural gas prices moved modestly higher as warmer weather forecasts for late June increased expectations for cooling demand, while European gas prices strengthened amid below-average storage levels. Energy equities also participated in the rally, with integrated producers, refiners, and oilfield service companies generally outperforming the broader market.
Metals & Mining:
Metals markets were mixed as a stronger U.S. dollar and expectations for tighter monetary policy weighed on precious metals. Gold and silver retreated modestly, while industrial metals remained supported by constructive long-term demand fundamentals.
Copper continues to be one of the strongest-performing commodities of 2026, benefiting from electrification trends, renewable energy investment, and limited supply growth. While analysts expect near-term volatility, the medium-term outlook remains positive.
Corporate activity across the mining sector remained robust, with exploration successes, project financing announcements, and analyst upgrades highlighting continued investment in future supply growth. Investors also remain focused on upcoming U.S. economic data, including employment and service-sector reports, which could influence interest rate expectations and precious metals performance.
Today’s commodity markets reflected a theme that has characterized much of 2026: geopolitical uncertainty supporting energy prices while monetary policy expectations influence precious metals. Crude oil continues to find support from tightening inventories, strong export demand, and elevated geopolitical risks, while industrial metals—particularly copper—remain well-positioned due to favorable long-term demand trends.
Looking ahead, investors will focus on U.S. inventory data, labor market reports, and the upcoming OPEC meeting, all of which could provide important signals for commodity markets as the second half of the year approaches.
Metals & Mining Pre Market
Synopsis:
- Daily update: Following yesterday's higher close in which the S&P and
the Dow reached new record highs, futures signal a lower start this
morning with the S&P (0.1%) and the Dow (0.2%) thus far in the pre-
market.
- Gold and silver prices are trading lower today largely due to lack of
progress surrounding the US-Iran peace talks, along with a stronger DXY
and growing rate hike bets in the US.
- RBC Capital Markets lowered its 2026/2027 gold price forecast to
$4,760/ounce and $5,250/ounce respectively as updated projections now
incorporate a tightening in monetary policy and rising yields over H2/2026.
Preferred precious metals equities include Barrick Mining, Royal Gold, OR
Royalties and SSR Mining.
- RBC Capital Markets maintained its copper price forecast at $6.00/lb for
Q2/2026 and $5.75/lb for H2/2026 but expects continued volatility.
Preferred equities include Capstone Copper, First Quantum Minerals, and
Hudbay Minerals.
- In terms of equity research, Roth Capital initiated coverage of Vox Royalty
with a buy rating and a price target of $8. Deutsche Bank upgraded First
Quantum Minerals to buy from hold with an increased price target of C$50
from C$40. RBC Capital Markets upgraded SSR Mining to outperform
from sector perform with a decreased price target of $40 from $45.
- Pre-Market: B (0.8%), NEM (0.9%), FCX (1.4%)
Metals Snapshot:
- Gold (0.71)% to $4488/oz, Monthly (3.37)%, YTD +3.38%:
- Silver (1.09)% to $74.73/oz, Monthly (2.23)%, YTD +5.85%:
- Copper (0.99)% to $6.6105/lb, Monthly +10.46%, YTD +16.34%:
- Aluminum +1.57% to $3855/mt, Monthly +0%, YTD +0%:
- Nickel +0.63% to $19170/mt, Monthly +0%, YTD +0%:
- Zinc +1.6% to $3612/mt, Monthly +0%, YTD +0%:
- VanEck Gold Miners ETF (1.0)% to $87.20, Monthly +1.08%, YTD +2.66%:
- VanEck Junior Gold Miners ETF (1.3)% to $114.50, Monthly +0.52%, YTD+1.93%:
- US Dollar +0.09% to $99.311, Monthly +1.18%, YTD +1.01%:
- CBOE Volatility Index +0.57% to $17.8, Monthly (9.61)%, YTD +7.67%:
Energy Pre-Market
Oil & Gas:
- Pricing
- WTI +2.1% to $95.72 (July)
- Brent +2.0% to $97.98 (Aug)
- Natural gas +0.9% to $3.197 (July)
- RBOB +0.8% to $3.171 (July)
- ULSD +3.3% to $3.821 (July)
