Gold Prices Rise While Oil Retreats Amid Mixed U.S. Signals on Trade and Russia

Gold prices rose by 0.5% to $3,360.86 per ounce, recovering losses from the previous session,
as markets closely monitor conflicting U.S. statements regarding the progress of trade negotiations.

Contents

Gold
Oil
China

Gold

Recovers Losses Amid Uncertainty in U.S. Trade Policy

Gold prices increased by 0.5% to $3,360.86 per ounce, erasing the previous session’s decline.
The move reflects heightened investor caution over conflicting signals from the U.S. on trade talks,
which has boosted the metal’s appeal as a safe-haven asset during geopolitical and economic uncertainty.

Despite hitting a record high above $3,500 per ounce in April, gold prices have stalled over the past three months.
Investors remain cautious, awaiting greater clarity on U.S. trade policy—especially after President Donald Trump delivered mixed messages.
While expressing openness to further negotiations with the EU and other major economies,
he insisted that the announced tariff levels represent the “deal” for trade partners.

According to Fawad Razaqzada, a market analyst at City Index,
gold could test or even surpass its previous highs if trade tensions escalate before August.
He noted that the market is currently adopting a “wait-and-see” approach, with a cautious upward bias for gold.

Meanwhile, the Bloomberg Dollar Spot Index held steady after gaining 0.3% on Monday.
Silver remained flat after reaching a 14-year high earlier in the session, while palladium and platinum both posted gains.

Oil

Falls as U.S. Pressure on Russia Appears Tepid

Oil prices declined for a second straight session, with Brent crude trading below $69 per barrel,
following a 1.6% loss on Monday.
The downturn comes as traders weigh the effectiveness of President Trump’s latest strategy against Russia,
which included threats but no immediate action.

Trump had announced increased military support for Ukraine and threatened to impose 100% tariffs if hostilities were not resolved within 50 days.
U.S. officials added that the move amounts to indirect sanctions on countries continuing to buy Russian oil—specifically naming India and China.

Still, the lack of immediate enforcement has left markets skeptical.
“The fundamentals are still supportive in the near term,” said Warren Patterson, Head of Commodities Strategy at ING Group.
However, he expects a significant downturn in prices starting in Q4, as bearish pressures begin to mount.

China

Ramps Up Refining Output as Goldman Sachs Adjusts Forecasts

In a notable development, official Chinese data showed refinery throughput exceeded 15.2 million barrels per day in June,
the highest since September 2023—indicating improved domestic demand.

At the same time, Goldman Sachs raised its H2 Brent forecast by $5 to $66 per barrel,
citing an unexpected drop in OECD inventories, particularly in the U.S.
However, the bank maintained its long-term forecast at $56 per barrel by 2026,
signaling expectations of a structural price decline over the coming years.

Gold Prices Rise While Oil Retreats Amid Mixed U.S. Signals on Trade and Russia

Gold Prices Rise While Oil Retreats Amid Mixed U.S. Signals

Related Topics