Global oil markets witness a surge in crude oil prices, with Brent crossing $88 and WTI trading above $86, both rising over 2% in a week, fueled by escalating tensions from the Israel-Hamas conflict. The fear of a potential supply reduction from the Middle East drives this increase. In parallel, the gold and silver market experiences an upswing, with gold remaining above $1860 on COMEX and silver hovering near $22. On MCX, gold remains above Rs 57,000 while silver is above Rs 69,000.
Brent Hits $88 and WTI Above $86 Amidst Israel-Hamas Tensions
The market sentiment is shaped by the uncertainty surrounding the Israel-Hamas conflict, impacting crude oil prices. Additionally, speculations of potential relief packages, including a $137 billion initiative by China to bolster its infrastructure sector, have further influenced the economic landscape. Amid this, the upcoming launch of MCX’s new trading platform on October 16 is anticipated to boost market activity. Gold and silver prices are on the rise, partly attributed to the Federal Reserve’s softened stance and market expectations of unchanged interest rates in November.
The dollar index’s dip below 106 for the second consecutive day has contributed to this upward trend in precious metal prices. As the market awaits US inflation data, the economic outlook remains dynamic.