Commodities 2025: Gold, Silver and Platinum soar to record gains while oil slides in turbulent geopolitical factors

UCapital Media

Overview

As of December 2025, global commodity markets exhibit pronounced divergence across energy and precious metals. WTI and Brent crude oil continue to face sustained pressure from oversupply and lackluster demand, while gold, silver, and platinum are experiencing robust rallies, fueled by safe-haven inflows, industrial demand, and supply constraints. Geopolitical events, macroeconomic policy shifts, and technical positioning are collectively shaping short-term prospects across these asset classes.

Technical Analysis

WTI Crude Oil (CLUSD) WTI crude oil is trading at $56 to $59.22 per barrel, marking a multi-month low and hovering near critical support levels. The price remains below both its 50-day moving average $59.17 and 200-day moving average $63.03, confirming a bearish technical structure. The Relative Strength Index (RSI) has registered in the 28–34 range, indicating oversold conditions and raising the possibility of a technical rebound if key supports hold. However, the prevailing micro-trend is flat, reflecting subdued momentum and ongoing market indecision, even as oversupply persists.

Brent Crude Oil (BRNUSD) Brent crude is quoted at $59.73 to $64.77 per barrel, also below its 50-day and 200-day moving averages. Support is found near the $61 to $65 range, with resistance in the $68–$69 band. The micro-trend remains flat, signalling a period of consolidation and highlighting the risk of renewed weakness if support levels fail.

Gold (XAU/USD) Gold is trading at or near all-time highs, with spot prices around $4.37K per ounce. The price stands well above its 50-day moving average $4.2K and 200-day moving average $3.7K, confirming robust technical momentum. The RSI is near 70, indicating an overbought market. The prevailing micro-trend is classified as STRONG_LONG, suggesting that the short-term path of least resistance is upward, although intermittent consolidation may follow after strong gains.

Silver (XAG/USD) Silver is trading at $63.59 to $74.39 per ounce, well above its 50-day $57.91 and 200-day $44.39 averages. The technical structure is strong, and the micro-trend is flat, indicating a likely period of consolidation after significant gains, but with a constructive medium-term bias driven by investment and industrial demand.

Platinum (PPLT) Platinum is trading above $1.7K per ounce, having rallied 84% in 2025. Technical trends are robust, buoyed by severe supply shortages, strong industrial demand, and renewed inflows into platinum ETFs. The short-term technical outlook remains bullish, with projections for potential highs near $1.9K–$2K in 2026.

Geopolitical and Market Factors

Geopolitical dynamics are exerting decisive influence across all major commodities. For oil, the ceasefire agreement in Gaza has sharply reduced the geopolitical risk premium, contributing to recent price declines and a more stable short-term outlook. OPEC+ has paused planned production increases for early 2026, maintaining its December hike of 137K barrels, while the International Energy Agency warns of a potential supply glut of up to 4M barrels by 2026, reinforcing downside risks.

Trade tensions between the U.S. and China, including new tariffs and port fees, continue to amplify volatility and suppress global oil demand expectations. Recent U.S. sanctions on Russia’s energy sector and blockades on Venezuelan oil tankers have led to short-term price spikes but have been offset by broader oversupply concerns.

For precious metals, persistent global instability, central bank accumulation, and expectations of U.S. Federal Reserve rate cuts have intensified safe-haven demand. Gold and silver are further bolstered by a weakening U.S. dollar and robust ETF inflows. Silver’s industrial demand, particularly from renewable energy and electronics sectors, and platinum’s use in the automotive and jewelry industries, underpin their strong rallies.

Short-Term Outlook

WTI and Brent crude oil remain in technically oversold territory, indicating the potential for a short-term rebound if current support levels are maintained. However, the broader outlook for oil stays cautious, with downside risks prevailing unless new geopolitical disruptions or significant OPEC+ policy changes emerge. Stabilization in the Middle East has eased immediate supply concerns, but the market remains vulnerable to renewed volatility if global demand weakens or fresh disruptions occur.

Gold is expected to remain well supported in the near term, as ongoing global uncertainties, strong safe-haven flows, and central bank accumulation sustain elevated prices, even with technically overbought signals. Silver and platinum share a similarly constructive outlook, benefiting from their dual roles as safe-haven and industrial metals, with further upside possible should current demand trends persist.

Latest News and Events

Recent headlines underscore the ongoing sensitivity of commodities to geopolitical and policy developments:

The U.S.–Venezuela standoff and Russian sanctions have contributed to short-term supply disruptions and brief price spikes in oil, but markets have retraced as oversupply concerns dominate.
OPEC+’s output restraint and the Gaza ceasefire have reassured oil markets, reducing immediate fears of oversupply but keeping prices susceptible to renewed shocks.
Gold has achieved more than 50 all-time highs in 2025, delivering over 60% returns, fueled by central bank demand and a weaker U.S. dollar. Goldman Sachs projects gold could rise by 14% to $4.9K by December 2026.
Silver has surged over 120% in 2025, underpinned by robust investment, industrial demand, and its addition to the U.S. critical minerals list.
Platinum has rallied sharply due to supply shortages, renewed jewelry demand in China, and increased inflows into platinum ETFs.

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Conclusion

In summary, WTI and Brent crude oil remain in a technically oversold and fundamentally challenged environment, with oversupply, subdued demand, and easing geopolitical risks keeping the short-term outlook cautious. Conversely, gold, silver, and platinum are clear beneficiaries of global instability, robust safe-haven demand, and strong industrial trends. Their technical strength and supportive macroeconomic context suggest continued resilience and potential further gains. Vigilant monitoring of geopolitical events, central bank actions, and macroeconomic data will be essential for effective positioning across all major commodities in the coming months.

Please note that the analysis is for informational purposes only and does not constitute financial advice. Users should conduct their own research.