Spot gold traded near $4,552 per ounce during early Asian hours on Thursday, April 30. The price had touched a one-month low of $4,510.21 the previous day, pressured by the U.S. Federal Reserve’s decision to keep interest rates unchanged amid its most significant internal disagreement in 34 years. Concerns over inflation driven by Middle East conflicts also weighed on gold, with three Fed officials favoring the removal of accommodative language from the policy statement.

Oil prices climbed nearly 9% on Wednesday, with U.S. crude trading around $108.40 per barrel. Supply worries intensified as U.S.-Iran negotiations stalled, and a larger-than-expected decline in EIA crude inventories supported prices.

**Equity Markets** U.S. stocks ended mixed in volatile trading on Wednesday. The Dow Jones Industrial Average fell 0.57%, the S&P 500 dipped 0.04%, and the Nasdaq Composite edged up 0.04%. Investors reacted to surging oil prices, a deeply divided Fed policy decision, and earnings reports from tech giants like Amazon, Alphabet, Meta, and Microsoft.

Rising oil prices fueled inflation concerns following reports that the White House was considering a prolonged blockade of Iranian ports. Energy stocks led gains, while utilities and materials lagged.

In after-hours trading, Alphabet rose over 3%, while Amazon and Microsoft fell more than 3%, and Meta dropped over 6%. Seagate’s optimistic outlook lifted data storage shares; Starbucks gained 8.5% after raising its profit forecast; Visa rose 8.3%; NXP Semiconductors surged 25.5%; and Robinhood dropped 13.2% on weak results.

Decliners outnumbered advancers on both the NYSE and Nasdaq, with trading volume below the 20-day average.

**Gold Market** Gold extended losses on Wednesday, hitting a one-month low. Spot gold fell 1.4% to $4,528.17 per ounce, while U.S. gold futures settled 1% lower at $4,561.50. The Fed’s rate hold and internal divisions—the largest since 1992—along with inflation fears linked to Middle East tensions, pressured prices.

Traders now expect no rate cuts this year or well into next year, as rising oil prices above $100 per barrel amplify inflation concerns.

Analysts remain cautious on gold’s near-term outlook. However, the World Gold Council reported a 2% year-on-year increase in global gold demand for the first quarter of 2026, driven by bar and coin purchases and central bank buying, which offset a 23% decline in jewelry demand.

Among other precious metals, silver fell 2.7% to $71.08, platinum dropped 3% to $1,881.21, and palladium eased 0.4% to $1,454.52.

**Oil Market** Oil prices surged over 6% on Wednesday. Brent crude settled at $118.03 per barrel after touching $120 intraday, while U.S. crude finished at $106.88, both marking multi-week highs. Stalled U.S.-Iran talks heightened fears of prolonged supply disruptions in the Middle East.

White House officials confirmed that President Trump had consulted U.S. oil companies on responding to a potential months-long blockade of Iranian ports, adding to supply concerns. Since the Iran conflict began, global crude supply losses have exceeded $50 billion.

EIA data showed a crude inventory draw of over 6 million barrels, far exceeding expectations, alongside larger-than-expected declines in gasoline and distillate stocks, raising worries about fuel shortages during the summer driving season.

Analysts warned that extended port blockades could push prices higher, with RBC Capital Markets noting that demand growth amid supply constraints would continue to support the market. Abu Dhabi National Oil Company informed some customers they could load two crude grades outside the Gulf next month due to the continued blockade of the Strait of Hormuz.

**Currency Market** The U.S. dollar strengthened on Wednesday, with the dollar index rising 0.35% to 98.938, supported by the Fed’s rate decision and internal split. Fed Chair Powell indicated the central bank was not shifting toward a hiking stance, but markets expect new Chair Wash to face hawkish pressure.

The euro fell 0.35% against the dollar to $1.16715, sterling dropped 0.36% to $1.34705, and the dollar gained 0.23% against the Swiss franc to 0.7911 franc.

U.S. discussions about a long-term Iranian port blockade boosted oil prices and real yields, supporting the dollar. The yen weakened past 160 per dollar to 160.40, down 0.49%, pressured by Japan’s energy import reliance despite hints of future rate hikes. The trade-weighted yen hit its lowest since the early 1990s, raising speculation of possible intervention by Japanese authorities.

**International Developments** Market-implied probabilities show little chance of a Fed rate cut this year, with a 13.5% probability of a hike by December.

President Trump stated that negotiations with Iran are being conducted by phone and emphasized that Iran must commit to abandoning nuclear weapons. Iran’s negotiation team said it is following the supreme leader’s directives in diplomatic efforts.

Iran’s parliament speaker responded to U.S. threats about oil storage capacity, suggesting oil could reach $140 per barrel.

Israel’s Defense Ministry urged defense firms to accelerate weapons production, citing a “prolonged state of emergency.”

The Fed’s policy statement revealed the sharpest split since 1992, with four officials dissenting. The statement noted that high inflation partly reflects recent energy price increases and Middle East uncertainties.

Presidents Putin and Trump held a 90-minute phone call discussing Ukraine, Iran, and other issues. Trump proposed a short-term Ukraine ceasefire, which Putin may consider.

The U.S. military is considering deploying Dark Eagle hypersonic missiles to the Middle East to target deep inside Iran.

**Domestic News** China’s Ministry of Natural Resources announced that the country leads globally in reserves of 14 minerals, including rare earths, tungsten, and tin. In 2025, China ranked first in production of 17 minerals. The mining sector’s output reached approximately ¥32.7 trillion, accounting for over 23% of GDP.