Oil Prices Surge Amid Supply Concerns, Gold Continues Downward Trend
Commodity markets saw mixed trading on Tuesday as oil prices rose due to persistent supply concerns. The attacks on Saudi Arabia's energy infrastructure have left the kingdom's East-West pipeline offline, casting doubt on efforts to ease shipping risks in the Gulf.
Brent crude futures increased by $1.24, or 1.18%, to $106.93 a barrel, while U.S. West Texas Intermediate futures rose $1.29, or 1.24%, to $102.65 a barrel. The Iran-backed Houthi forces in Yemen launched fresh attacks on Saudi Arabia on Monday, and the Gulf Arab states postponed planned discussions with Iran.
Gold prices continued to decline as increasing disruptions to oil flows from the Middle East reinforced expectations of a US Federal Reserve rate hike as soon as this week. Bullion was trading around $4,290 an ounce after falling more than 1% in the previous session to a five-week low.