Amidst mounting geopolitical tensions and the anticipation of U.S. December employment data, oil prices saw an uptick on Friday following previous session losses. The visit of U.S. Secretary of State Antony Blinken to the Middle East in an effort to contain the Israel-Gaza conflict helped drive this increase.

Crude oil has experienced gains driven by the Israel-Hamas conflict. However, concerns linger over demand, as data suggests a fragile demand for oil products. Citi’s oil price projections for different quarters indicate fluctuations, with a target of $76 for WTI (CL1:COM) in the first quarter, and $80 for Ice Brent (CO1:COM). Analysts and traders are closely monitoring these trends to make informed decisions amidst market volatility.

On the other hand, gold (XAUUSD:CUR) and other precious metals like silver, platinum, and palladium faced declines as the dollar surged. The dollar index (DXY) strengthened significantly, marking its most substantial weekly gain since May. This development has implications for traders, as they recalibrate expectations regarding potential interest rate cuts and their impact on various asset classes.

Within the realm of base metals, copper prices also experienced a dip due to the strengthening dollar, driving up the prices of metals priced in other currencies. Goldman Sachs articulated its positive outlook, emphasizing the expected rise in prices as a result of an improved cyclical backdrop. Additionally, the surge in demand for metals such as copper (HG1:COM) and aluminum (DJCIIA) in China has garnered attention, supported by the growth of the green metals economy.

Nickel, however, witnessed a fifth consecutive session of decline, adding to its more than 3% drop since the beginning of the year. ING Commodities highlighted its poor performance last year, with a substantial 45% fall in prices on the LME.

Shifting focus to agricultural commodities, while soybean futures experienced a downturn, wheat and cocoa saw an increase, signifying varied movements within this segment of the market.

Recent Commodity Price Movements

• Energy

  Metals

  Agriculture

  • Corn (C_1:COM) -0.02% to $466.42.
  • Wheat (W_1:COM) +0.62% to $617.33.
  • Soybeans (S_1:COM) -0.22% to $1,259.25.

Commodity ETFs

Gold ETFs:

• SPDR Gold Shares ETF (GLD)
• VanEck Gold Miners ETF (GDX)
• VanEck Junior Gold Miners ETF (GDXJ)
• iShares Gold Trust ETF (IAU)
• Direxion Daily Gold Miners Index Bull 2X Shares ETF (NUGT)
• Sprott Physical Gold Trust (PHYS)

Other Metal ETFs:

• iShares Silver Trust ETF (SLV)
• Sprott Physical Silver Trust (PSLV)
• Global X Silver Miners ETF (SIL)
• U.S. Copper Index Fund, LP ETF (CPER)
• abrdn Physical Palladium Shares ETF (PALL)

Oil ETFs:

• U.S. Oil Fund, LP ETF (USO)
• Invesco DB Oil Fund ETF (DBO)
• U.S. 12 Month Oil Fund, LP ETF (USL)
• U.S. Brent Oil Fund, LP ETF (BNO)
• U.S. Natural Gas Fund, LP ETF (UNG)
• U.S. Gasoline Fund, LP ETF (UGA)

Agriculture ETFs:

• Invesco DB Agriculture Fund ETF (DBA)
• Teucrium Soybean ETF (SOYB)
• Teucrium Wheat ETF (WEAT)
• Teucrium Corn Fund ETF (CORN)