Oil Trims Gains After Iran Says It Ended Attacks -2-

0822 GMT - Gold is likely to benefit from continued central-bank buying, which appears to be the strongest structural force in the precious metal markets, says Carsten Menke at Julius Baer. Central bank buying should continue for another three to five years given emerging economies' desire to be less dependent on the dollar as a reserve currency and a below-average share of gold in their reserves, he says in a note. While volatility may remain elevated as long as the Iran war lasts, and concerns of U.S. monetary policy tightening persist, Julius Baer still sees a favorable fundamental backdrop for gold and remains constructive on the precious metal. ([e-mail])

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Gold Falls on Rate-Hike Fears as Middle East Hostilities Escalate -- Market Talk

0809 GMT - Gold prices fall 1% as fresh strikes between Israel and Iran dim hopes for a near-term deal in the Middle East, heightening inflation concerns and reinforcing expectations of higher interest rates. "Following Friday's jobs report and a broader deterioration in risk sentiment that also weighed on equities, bullion closed below its 200-day moving average for the first time since October 2023," analysts at Saxo Bank say. "A combination of resilient economic growth and rising inflation expectations has created a challenging environment for gold, overshadowing the longer-term supportive themes of central bank buying, fiscal concerns, and reserve diversification." In early European trading, New York gold futures are down 1% to $4,320.40 a troy ounce. ([e-mail])

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Iron Ore Prices Fall Amid Weak Demand -- Market Talk

0227 GMT - Iron ore prices are lower, weighed by weak demand. The prices remain under pressure as the supply-demand balance weakens, Baocheng Futures analysts write in a note. Downstream steel consumption is easing from elevated levels, while shrinking mill margins continue to weigh on demand, they say. Inventories have resumed building, while stronger coking coal and coke prices are reshaping profit distribution across the steelmaking chain, adding further pressure on iron ore, they say. The most actively traded September iron ore contract on the Dalian Commodity Exchange is 0.6% lower at 760.5 yuan a ton.([e-mail]; @ivy_jiahuihuang)

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Aluminum Rises Amid Tight Supply, Soft China Demand -- Market Talk

0206 GMT - Aluminum gains in early Asian trade, with the three-month contract on the London Metal Exchange 0.4% higher at $3,606.00 a ton. Prices are caught between seasonally weakening demand in China and tight supply conditions elsewhere, according to Nanhua Futures analysts in a commentary. They expect the current pattern of relative Chinese weakness and overseas strength is expected to continue. Nanhua is watching for marginal changes in global inventory levels and the broader market risk appetite. ([e-mail])

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(END) Dow Jones Newswires

06-08-26 1203ET