Geopolitical Developments Impact Oil Prices

Oil prices declined amid speculation that the US and Iran could reach an agreement, potentially leading to the reopening of the Strait of Hormuz. However, ongoing tensions, including new US sanctions and noted hurdles in peace talks, underscore that geopolitical risks and the potential for an oil shock remain a key concern for financial stability.

Silver Prices Post Strong Weekly Gains

Silver prices climbed significantly during the week, rising above the $80 mark for a weekly gain of over 7%. The rally in the white metal was attributed to broad US Dollar weakness and a concurrent decline in oil prices.

Indian Gold Investment Remains Robust

Demand for gold in India continues to show strength, with gold-backed Exchange Traded Funds (ETFs) recording inflows for the 11th consecutive month. This persistent investment from Indian buyers is contributing to physical demand for the precious metal as spot prices stabilize.

Mixed Inflation and Growth Data from Emerging Economies

The global economic outlook remains mixed, with several emerging markets reporting persistent inflation pressures that could complicate monetary policy easing. Brazil and Colombia noted rising inflation, while Asian economic data was varied, with Indonesia reporting accelerated GDP growth and Taiwan seeing a slowdown in exports.