{
  "id": 1683703,
  "title": "The Commodities Feed: Oil extends gains on supply concerns",
  "url": "https://urgent.news/2026/08/18/the-commodities-feed-oil-extends-gains-on-supply-concerns",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-18T10:00:55.000Z",
  "source": {
    "name": "Hellenic Shipping News",
    "slug": "hellenic-shipping-news",
    "url": "https://www.hellenicshippingnews.com/the-commodities-feed-oil-extends-gains-on-supply-concerns/"
  },
  "original_language": "en",
  "account": "Oil prices continued their upward trend, with Brent crude surpassing $91 per barrel on the third consecutive day. Market sentiment remained positive, buoyed by the United States' decision not to extend the Iran nuclear deal and ongoing security concerns in the Strait of Hormuz, which raised fears of potential supply disruptions. Saudi Arabia was reportedly sending crude from ports off the coast of Oman, indicating efforts to diversify export routes beyond the Persian Gulf. Saudi Aramco was marketing its Arab Medium and Arab Heavy grades through ship-to-ship transfers from terminals in Sohar. Chinese refinery output declined by 15.8% year-over-year in July, reaching 12.5 million barrels per day, signaling weak refining activity. Simultaneously, global oil demand fell by 17.5% year-over-year to 12.04 million barrels per day, driven by softer industrial activity, reduced refining margins, and increased adoption of electric vehicles. US natural gas prices tumbled 3.5%, pressured by higher production, cooler weather forecasts, and ample storage levels. Inventories stood at 3.15 trillion cubic feet as of August 7, surpassing the five-year average by 6.7%. Middle distillates also saw further gains, with the ICE gasoil crack nearing $76 per tonne. This was supported by reports of Ukrainian attacks on Russia's Ust-Luga processing facility and ongoing Russian diesel export restrictions. With tighter market expectations, speculative net-long positions rose for a sixth consecutive week to their highest level since February. Meanwhile, gold prices continued their rally, holding above $4,400 per ounce after rebounding sharply from July lows near $3,900. This was supported by a weaker US dollar and expectations that the Federal Reserve was nearing the end of its interest rate hikes. Geopolitical tensions in the Middle East also continued to bolster investor demand for gold. In base metals, copper prices spiked higher, with three-month LME copper trading above $14,000 per tonne and approaching record highs earlier this year. This surge was driven by tightening nearby market conditions, as a supply squeeze intensified ahead of potential import tariffs. The LME copper tom-next spread surged to a premium of $75 per tonne, the widest since January, while the cash/3-month copper spread traded at a premium of $545 per tonne, reflecting limited spot supplies. Tighter near-term supply is likely to keep the market well-supported, especially if demand linked to electrification, data center expansion, and grid investment remains resilient. In the metals sector, Chinese primary aluminium production increased by 3.8% year-over-year to 3.9 million tonnes in July, supported by healthy smelter margins. Output in the January-July period reached 27.2 million tonnes, up 3.8% year-over-year. In contrast, crude steel production declined by 3.6% year-over-year to 76.9 million tonnes, the lowest level since December 2025, as weaker demand continued to impact the sector. Chinese imports of unwrought aluminium and aluminium products fell 22% year-over-year to 280,000 tonnes, while steel imports decreased by 2.1% year-over-year to 440,000 tonnes. Alumina exports surged 33% year-over-year to 300,000 tonnes, with year-to-date shipments up 21.7%, indicating strong overseas demand. Coffee prices experienced record backwardation for the September-December 2026 contracts, with the spread widening to US¢27 per pound as traders rushed to cover short positions ahead of the September expiry. Tight nearby supplies, combined with harvest delays in Brazil and logistical disruptions in Colombia due to a recent deadly earthquake, continued to support the market. While Brazil is expected to produce a large crop in 2026/27, near-term supply remains constrained.",
  "summary": "Energy – Brent extends rally above $91/bbl Oil prices extended gains for a third consecutive session, with ICE Brent trading above $91/bbl. Sentiment remained supported by US President Donald Trump’s decision not to extend the US-Iran peace agreement and continued security concerns in the Strait of Hormuz, raising fears of supply disruptions. Saudi Arabia is ...",
  "key_points": [
    "Brent crude surpasses $91 per barrel for third consecutive day",
    "Saudi Arabia diversifying exports via ports off Oman",
    "Chinese refinery output declines 15.8% year-over-year"
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}