Oil and Gold Prices Under Pressure from Talks and Tariffs

Crude prices continue to decline while gold remains near monthly highs amid global trade tensions.

Contents

Oil
Gold

Oil

Declines Amid Trade Fears and New Sanctions
Oil prices extended their losses for a third consecutive session amid escalating trade tensions between the United States and its partners,
as the deadline for new U.S. tariffs approaches in early August.
Brent crude dropped below $69 per barrel, while West Texas Intermediate (WTI) held steady around $67.

U.S. and EU negotiators are ramping up efforts to avoid further trade escalation,
while analysts note that downside risks are growing due to expectations of higher supply later this year.
Meanwhile, the European Union imposed a new package of sanctions on Russia,
including a lower price cap on Russian crude, restrictions on refined fuels processed in certain refineries,
and broader bans on major Indian refineries relying on Russian oil.

In contrast, Washington hinted at possible tariffs targeting countries that import oil from Moscow, particularly China and India,
which adds additional pressure on global demand and weighs further on prices—especially as OPEC+ increases production.

Gold

Steady Despite Dollar and Rate Volatility
Gold prices remained near their highest level in a month, with the precious metal trading around $3,395 per ounce.
This stability came as the dollar weakened and investors sought safe-haven assets amid growing concerns over potential unilateral tariffs from President Trump ahead of the August 1 deadline.

This environment coincided with mixed signals from Federal Reserve officials,
which added uncertainty regarding the path of interest rates.
While some policymakers advocated for rate cuts to support growth,
others were more cautious—keeping market expectations anchored around a modest 46 basis point cut through the rest of the year.

Although gold has traded within a narrow range in recent months, it has gained more than 25% since the beginning of 2025,
fueled by geopolitical risks in Ukraine and the Middle East, as well as concerns over global trade system disruptions.

Oil and Gold Prices Under Pressure from Talks and Tariffs

Oil and Gold Prices Under Pressure from Talks and Tariffs

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