Crude oil prices eased to $105 per barrel following comments by US President Donald Trump that the United States and Iran’s ongoing conflict could be coming to an end. Traders took profits after a long period of high prices amid hopes of a diplomatic solution or a de-escalation of hostilities that helped alleviate immediate supply concerns in the energy market. Energy analysts remain cautious after the small pullback, pointing out that the global supply chain is vulnerable to any abrupt changes in Middle Eastern geopolitics.
Safe-haven assets continued to be in demand at the same time with gold prices edging 0.3% higher. The slight increase in the precious metal indicates a prevailing current of market anxiety as investors look to hedge against wider economic uncertainties and shifts in inflationary pressures. Oil prices have come off, providing some relief to global energy consumer markets, but gold is also rallying at the same time, indicating market participants are still defensive until the picture is clearer.
