Trump Delays Strike on Iran, Oil Prices Plummet Over 4% as Gold Soars
Commodity markets were mixed on August 3, but crude oil prices took a significant hit after US President Donald Trump's decision to delay a fresh strike on Iran. This move sparked a decline in oil prices, with Brent crude futures plummeting $4.08 or 4.64% to $83.85 and U.S. West Texas Intermediate crude dropping to $80.66 a barrel, down $4.01 or 4.74%. This steep fall is a reversal from the previous month's surge of over 20%, fueled by heightened security concerns following renewed fighting between the US and Iran.
Gold prices rose on Monday as investors sought safe-haven assets amidst the uncertainty surrounding Trump's actions. Spot gold increased 0.7% to $4,067.06 per ounce, while U.S. gold futures rose 0.9% to $4,065.60. The precious metal wasn't alone in its gains, with silver advancing 0.9% to $58.10 an ounce and platinum and palladium also experiencing upward movements.
The sudden drop in the dollar against the yen on Monday kept traders on edge, as they anticipated potential intervention by authorities to support the Japanese currency.