DBT Bureau
Pune, 19 June 2026
Commodity markets witnessed heightened volatility as the U.S. Federal Reserve maintained a hawkish stance on interest rates and an interim U.S.–Iran agreement eased concerns over global oil supply disruptions, weighing on precious metals while pressuring crude oil prices.
- Precious metals declined for a third consecutive day driven by hawkish Fed signals, with lower oil prices providing some support. Spot gold hovered around USD 4160 per troy ounce, while spot silver traded around USD 65 per troy ounce.
- The US Federal Reserve kept interest rates unchanged within the 3.5%–3.75% range and indicated the possibility of a rate hike later this year, citing the growing concerns over inflation remaining above its 2% target.
- Crude oil prices traded in the vicinity of more than three months, as an interim U.S.-Iran deal to end the conflict, reopen the Strait of Hormuz, and ease sanctions on Tehran improved the global supply outlook.
- Middle East crude markets weakened significantly following the U.S.–Iran agreement, which improved global supply expectations. Dubai’s premium to swaps fell to a 46 cent discount, the first contango since January, after reaching USD2.06 per barrel earlier in the week.
- The reopening of the Strait of Hormuz will flood the global oil market with millions of barrels currently stranded in the Middle East Gulf. Additionally, the removal of U.S. restrictions on Iranian crude could unlock around 72 million barrels held on tankers west of Chabahar, with volumes likely to grow further if broader sanctions relief is implemented by U.S.
- Iranian Foreign Minister Abbas Araqchi said Iran and the U.S. will begin a new round of talks in Switzerland on Friday to finalize an agreement following the interim deal. He cautioned that any Israeli attack on Lebanon or continued presence there would violate the interim agreement.
- China’s May crude imports slumped 29% to their lowest levels in eight years. Imports dropped to 33.08 million tonnes, or 7.79 million barrels per day, the lowest level since February 2018.
- China’s copper imports declined 1.33% month-on-month to 446,000 tonnes, with January–May imports at 2.01 million tonnes, down 7% year-on-year.
- China’s aluminium exports rose 5.68% in May to 632,000 tonnes, driven by supply disruptions in the Gulf region linked to the Iran conflict. China’s unwrought aluminium and product exports climbed 5.68% in May to 632,000 metric tonnes.
Source: Geojit Investments Limited
Disclaimer : Investment in securities & commodities market are subject to market risks, read all the related documents carefully before investing
