Commodity

Global oil prices have climbed above $108 per barrel, up roughly 50% from June, amid the Middle East conflict, pushing up fuel costs. Petrol prices in southwest England have risen in tandem, with some stations charging close to £2.40 per litre and Bristol averaging £1.70. Taxi drivers and volunteer charities say operating costs have jumped, squeezing margins and prompting more customers to compare quotes.

Gold prices in India rose about 60% year on year during Ganesh Chaturthi, climbing from Rs 98,000 to Rs 1.57 lakh per 10 grams. The surge pushed festival gold sales down about 15% from a year earlier as buyers cut quantities or shifted to lighter jewellery. Demand for coins and bars, however, showed signs of improvement as some consumers continued to allocate money to gold.

Saudi Arabia’s East-West oil pipeline was shut after a drone attack, disrupting about 4 million barrels a day of crude transport, or 4% of global supply. Australian fuel prices jumped in response, with the national average for regular unleaded rising to A$2.37 a litre, up 39% since July. Diesel climbed 59% over the same period to A$2.88 a litre.

London Metal Exchange copper futures extended gains for a sixth day, the longest winning streak in four months. Shanghai copper inventories fell to 43,900 tons, the lowest level since 2023. Pre-holiday restocking in China and expectations of potential US tariffs have tightened global supply, pushing prices close to record highs.

Gold edged higher, with spot bullion up 0.4% to $4,361.89 an ounce. Oil has fallen more than 9% over the past four trading days, easing expectations that the Federal Reserve will raise rates further to curb inflation. Silver also gained 0.8% to $66.56 an ounce. The Bloomberg Dollar Spot Index was little changed after rising 0.1% in the previous session.

Gold sales during Ganesh Chaturthi in India fell about 15% year on year by volume as buyers cut back or shifted to lighter jewellery after a sharp rise in prices, according to industry executives. In Mumbai’s spot market, gold traded at Rs 1.57 lakh per 10 grams with a 3% goods and services tax, up about 60% from Rs 98,000 per 10 gm on August 28 last year. Consumers also stepped up old-jewellery exchanges, while sales of coins and bars and demand tied to weddings and younger self-purchasers remained relatively resilient.

Saudi Arabia increased crude exports from the Middle East Gulf after its East-West pipeline was attacked, with Saudi Aramco loading about 14 million barrels on Sunday. Since September 12, Gulf loadings have rebounded to an average of 3.7 million barrels per day, data show. The recovery helped push Brent below $100 a barrel for the first time since September 9, easing concerns about supply disruptions.

Rainfall fell below average last week across most of Ivory Coast’s main cocoa-growing regions, with Daloa recording 3.6 mm, 26.1 mm under the norm. Farmers said the dry conditions could threaten the development of small pods to be harvested next year during the September-to-February main crop. They warned the situation could become alarming if the dry spell lasts until mid-October, according to Reuters. Weekly temperatures ranged from 25.6 to 29.7 degrees Celsius.

Global mined copper supply faces a risk of falling in 2026. Chile, the largest copper-producing country, is expected to see output drop 6.5% in the first half of 2026, while Indonesia and the Democratic Republic of Congo are projected to cut a combined 600,000 tonnes—nearly 2.5% of global supply. Copper prices have risen more than 45% over the past year as demand in China remains strong, with the Yangshan copper premium reaching its highest level since November 2022.

Crude prices slipped to their lowest level in more than a week, with Brent at $102.05 a barrel and WTI at $98.50. Traders focused on the prospect that a UN meeting this week could spur U.S.-Iran diplomatic progress, even as Washington and Tehran traded fresh threats over the weekend. On the supportive side, Saudi Arabia has rerouted oil flows, lifting average daily exports through the Strait of Hormuz to 2.9 million barrels over the past week, up from 700,000 barrels in August.