In 2025, precious and base metals have risen due to US tariffs, while oil remains volatile with slight downside pressure. Key performers include gold, copper, silver, platinum, and palladium. Brent oil is expected to trade lower than last year’s $70-$80 per barrel range. More infrastructure is needed to meet European LNG demand post-Ukraine war.

Commodity markets faced high volatility, geopolitical risk, and US trade policies in 2025. Precious metals benefited from uncertainty, while base metals rose on anticipation of tariffs. Oil markets are volatile with some downside pressure. Range trading expected as clarity on tariffs is awaited.

OPEC is rapidly unwinding production restraints, leading to more barrels in the market. Structural demand weakness persists, with oil prices expected to trade between $60-$70 per barrel over the next 6-12 months. This is lower than last year’s range of $70-$80 per barrel.

Europe’s reliance on Russian gas has shifted to LNG imports post-Ukraine war. US LNG exports are crucial, but infrastructure development is needed. More liquefaction and regasification infrastructure required for Europe to reduce reliance on Russian gas.

Gold, silver, platinum, and palladium have been top performers in the commodity complex. Geopolitical uncertainty drives demand for gold, while supply deficits support platinum and palladium prices. Gold expected to regain ground due to ongoing geopolitical tensions and rising indebtedness.

Top commodities to invest in include gold, copper, and aluminum. Air pocket in copper and aluminum demand expected to accelerate as inventories run down. Demand for these metals is high in energy transition and data center buildout, driving prices in the future.

Read more at Morningstar: Why Gold and Copper Prices May Surge Again This Year