Oil Drops on Supply Progress as Metals Slide and Dollar Firms

Crude oil set the tone for Tuesday, September 22, swinging across the session as market participants tracked shifts in Middle Eastern energy infrastructure and international diplomacy. Brent crude futures settled at $99.25 a barrel. Selling pressure initially accelerated after Saudi Arabia restarted operations on its East-West pipeline and Iranian officials suggested the Strait of Hormuz could reopen within seven days if military pressure receded.

Precious metals saw movement extend into overnight trading following the regular market close. By 10:30 am New York, round-the-clock trading recorded silver -1.7% and gold -1.1%, with our sources showing no reported driver for the overnight pullback.

Foreign exchange markets were shaped by the interaction between energy prices and interest rate expectations. On Tuesday, September 22, the dollar gained ground as investors weighed lower crude prices against remarks from Federal Reserve officials noting that additional interest rate increases remain possible if inflation stays persistent. European currencies weakened against the dollar during the session, with the euro -0.1% against the dollar and the pound -0.2% against the dollar.

Digital assets logged a quiet session, with Bitcoin -0.2% and Ethereum 0.0%.

Looking ahead, several scheduled economic releases will provide fresh context for benchmark assets:

• On Wednesday, flash purchasing managers indexes will report preliminary business activity across global manufacturing and service sectors.
• On Thursday, the Swiss National Bank will deliver its scheduled quarterly monetary policy assessment.
• On Thursday as well, the United States will publish weekly jobless claims.
• On Friday, the calendar concludes with advance durable-goods orders and consumer sentiment readings.