DBT Bureau
Pune, 2 Jan 2026
Geojit Investments’ latest commodities report highlights a firm start to the year across global markets, with precious metals supported by safe-haven demand, base metals buoyed by supply–demand dynamics, and energy prices navigating geopolitical and macroeconomic crosscurrents.
- Precious metals started the year on a strong footing, climbing higher but still trading below their all-time highs. Geopolitical tensions and expectations of lower interest rates have kept safe-haven demand robust, supporting the positive momentum in prices.
- Gold spot marked its all-time high of USD 4,549.71 per troy ounce last week, while silver spot hit an all time high of USD 83.62 on Monday.
- The minutes from the U.S. Federal Reserve’s meeting reveal that after a highly divided rate cut decision in December, the new projections indicate only one additional rate cut in 2026. The policy statement suggests the Fed will likely hold rates steady for now, awaiting clear signs of either further declines in inflation or a sharper-than-expected rise in unemployment.
- China’s industrial profits dropped in November at their steepest pace in over a year, as sluggish domestic demand outweighed resilient exports, signaling a faltering economic recovery and reinforcing calls for further policy support.
- London copper opened higher as a weaker U.S. dollar provided support, while aluminium surged to its highest level since May 2022. Copper’s rally was driven by booming demand from artificial intelligence and renewable energy sectors, coupled with supply disruptions at major mines.
- Copper production from Chilean state-run miner Codelco fell 14.3% in October, falling to 111,000 metric tonnes. Meanwhile production at BHP’s Escondida mine, the world’s largest copper mine, climbed 11.7% from the same month a year earlier to 120,600 tonnes. At Collahuasi, another major copper mine jointly run by Glencore and Anglo American, output fell 29.3% to 35,000 tonnes.
- Crude oil prices steadied as investors assessed the outcome of U.S.–Ukraine talks on a potential peace deal, alongside persistent Middle East tensions that threaten to disrupt supply. The benchmark crude oil prices in NYMEX and ICE posted an annual decline in 2025.
- NYMEX natural gas futures slipped as warmer weather forecasts for next week and a report showing a smaller-than-expected storage withdrawal weighed on prices. However, record gas flows to LNG export facilities helped the market notch its second consecutive yearly gain in 2025.
