Prices held above the previous session’s lows, with Brent last at $108.30 and WTI at $100.88.
Oil is trading steady today, as the market took a wait-and-see approach ahead of a key meeting between U.S. President Donald Trump and Chinese President Xi Jinping, with investors eyeing any diplomatic breakthrough regarding the Iran war and its impact on supply availability.
With the loss of flows in the Strait of Hormuz, the market has shifted from a price shock to a structural problem, with those barrels missing from the physical market, and inventories drawing down at a strong pace. In the meantime, marginal barrels are coming from higher U.S. exports, stockpile releases, weaker demand from China, and barrels hiding on the high seas after being rerouted, but those methods won’t last forever. Oil inventories in OECD nations are plummeting at a record pace, while limited tankers are making it out of the strait, meaning the marginal barrel is coming from wherever it can right now. If there is no progress in reopening the strait, a lack of supply would soon begin to impact economic growth.
On the chart, WTI is near a key support zone around $100, which corresponds to the 50-day SMA. If this level is breached, WTI could slide toward $97. On the upside, resistance is seen near $103-104.
Meanwhile, Brent is trading near $108 after pulling back from the $110-111 area and is now moving in a narrow range, suggesting a larger move may be approaching soon. Support can be seen near $106, and resistance near previous highs at $110.
Gold & Silver
Gold is trading flat near $4,690 today as investors await developments from the Trump-Xi summit in Beijing and key U.S. Retail Sales data later in the session. While hopes of easing trade tensions between the U.S. and China are offering some support to sentiment, elevated inflation and rising bond yields continue to cap upside momentum in bullion.
U.S. producer inflation posted its largest monthly gain since March 2022, with April PPI rising by a seasonally adjusted 1.4% for the month, much higher than the 0.5% consensus forecast. Combined with hotter CPI data earlier this week, markets are increasingly convinced that the Federal Reserve will maintain a higher-for-longer rate stance. Rising Treasury yields, particularly the US 10-year and 30-year yields, which are nearing multi-month highs, remain a key headwind for non-yielding assets like gold.
While fundamentals cap upside momentum to some extent, ongoing geopolitical uncertainty surrounding the Iran conflict and potential updates from the U.S.-China summit are helping prevent a deeper downside in bullion. Technically, gold remains rangebound with a bearish intraday tilt, with immediate resistance near $4,745–$4,760 (61.8% Fib level), while support lies around $4,650 (38.2% Fib level). Silver is trading 0.5% down today, near $87, after hitting a two-month high in yesterday’s session, supported by technical momentum and broader industrial metals strength. Resistance for the metal lies around $90, while support is around $83.5.
Gold prices in the UAE today are as follows:
24 Carat – AED 566.50
22 Carat – AED 524.75
21 Carat – AED 503.00
18 Carat – AED 431.25
