Oil Surges Despite Record IEA Release as Geopolitical Risks Mount; Gold Slumps

Oil prices, including WTI and Brent, surged by more than 3% despite a record release of 400 million barrels from strategic reserves by the International Energy Agency (IEA). Market participants largely ignored the supply intervention, focusing instead on escalating geopolitical tensions and supply constraints in the Strait of Hormuz. The ongoing conflict involving Iran has heightened fears of significant disruptions to global energy transit routes, outweighing the IEA's efforts to stabilize the market. Meanwhile, gold and silver prices faced downward pressure as a strengthening US dollar reduced the appeal of precious metals. In the base metals sector, aluminium is experiencing an acute supply crisis directly linked to the regional instability. The failure of the IEA's massive reserve release to cool prices underscores the market's deep anxiety over Middle Eastern supply security.