Geopolitical Tensions and Interest Rates Shake Commodity Futures

Geopolitical tensions in the Middle East, which have impacted global economic pressures, remain a key sentiment affecting financial market players. Agrodana Futures Director Tommy Zhu stated that the ongoing conflict has influenced commodity markets, including crude oil and gold. Crude oil is directly linked to the closure of the Strait of Hormuz, which has suppressed production and supply chains, causing oil prices to fluctuate despite currently returning to around USD 70 per barrel. In the futures market, gold prices typically surge when conflict occurs, but they have recently weakened alongside rising interest rates. Similarly, oil prices have begun to correct in line with the potential for peace in the Middle East.