Oil Prices Soar on Red Sea Attacks, Gold Regains Momentum

Oil prices surged on Wednesday due to rising tensions in the Middle East after attacks on vessels in the Red Sea. Brent crude gained about 1.2% to $90 a barrel and WTI advanced 1.3% to $84.30, while US futures ticked up ahead of the July CPI report. The attack escalated the conflict, adding to concerns about global supply. Investors await the July CPI report, expected to show 3.4% headline inflation and 2.5% core on a yearly basis, which is still above the Fed's 2% target.

The increased volatility in oil prices comes as traders wait for the upcoming US inflation data, which could shape near-term rate expectations.

Gold has regained momentum, trading around $4,398 with a strong overall bullish bias on the 1-hour time frame. The asset established a solid structural base at $4,183 before rallying upward and is now pushing towards the $4,400 psychological barrier.