DBT Bureau
Pune, 11 May 2026
According to the latest commodity report by Geojit Investments, global commodity markets remained volatile amid stalled U.S.–Iran peace negotiations, rising geopolitical tensions in the Middle East, and fresh inflationary pressures from China, while supply disruptions continued to support industrial metals prices.
- Spot gold declined, while spot silver remained under pressure as stalled progress in U.S.–Iran peace talks lifted oil prices, raising concerns that persistently high inflation could keep interest rates elevated for longer period.
- Last week, the U.S. proposed restarting negotiations, while Iran responded by calling for an end to the war on all fronts, especially in Lebanon, and ensuring safe shipping through the Strait of Hormuz. However, President Donald Trump rejected Iran’s response, leaving talks at a standstill.
- U.S. nonfarm payrolls rose by 115,000 in April, while the unemployment rate held steady at 4.3%.
- U.S. Senate is expected to confirm Kevin Warsh as Federal Reserve Chair this week, with investors closely watching for potential shifts in monetary policy under the new leadership.
- Crude oil prices surged after U.S. rejected Iran’s response to the peace proposal, heightening supply concerns as the Strait of Hormuz remained largely closed, tightening the global market.
- The UAE’s exit from OPEC has raised doubts about unity within the cartel, highlighting growing discord among Gulf oil producers. This move undermines OPEC’s grip on global oil supply and deepens the rift between the UAE and its neighbor, Saudi Arabia.
- LME copper prices edged higher, supported by stronger than expected inflation data from top consumer China and supply concerns after Freeport delayed a full recovery of its Grasberg mine in Indonesia.
- China’s aluminium exports rose 15% year-on-year in April to 598,000 metric tonnes, driven by tighter global supply and higher overseas prices following the Strait of Hormuz closure. Year-to-date shipments reached 2.05 million tonnes, up 8.9% from the same period last year.
- China’s producer prices rose 2.8% year-on-year in April, marking the fastest increase in over three years, while consumer inflation also exceeded expectations, rising 1.2% annually, driven by higher commodity costs linked to the Iran conflict.
