On March 2nd, the global commodity market experienced sharp fluctuations due to the escalation of geopolitical conflicts in the Middle East, with safe-haven assets and energy prices soaring simultaneously, becoming the core focus of international finance on the day. Affected by the US-Israeli military strikes on Iran and the closure of the Strait of Hormuz, about 20% of the world’s oil trade routes were blocked, directly triggering concerns about energy supply and driving oil prices up sharply. Brent crude oil jumped more than 8% at the opening, once approaching $80 per barrel, while WTI crude oil rose more than 7% to around $72 per barrel, with intraday gains even exceeding 10% at some points. Institutions warn that if the strait remains blocked for a long time, oil prices may hit the $100 per barrel mark.
The precious metals market also strengthened simultaneously. International gold prices broke through $5,279 per ounce, setting a new all-time high with a single-day gain of nearly 2%, while London spot silver stood above $95 per ounce, with a single-day gain exceeding 6% at one point. Domestic Shanghai gold and silver futures followed suit, and the retail price of physical gold also rose, with safe-haven buying continuing to pour in. Experts analyze that the core of this market movement is the resonance between safe-haven sentiment triggered by geopolitical conflicts and supply crises. The rise in oil prices will also be transmitted to downstream industries such as chemicals and logistics, pushing up global manufacturing costs.
Market sentiment was divided. Although safe-haven sentiment dominated, some markets showed strong resilience. A-shares opened slightly higher by 0.39% without panic selling. Going forward, it is crucial to focus on Iran’s subsequent reactions and the reopening time of the Strait of Hormuz, which will directly determine whether commodity prices can maintain high levels. Currently, global capital is flowing from high-valuation sectors to defensive sectors such as energy and precious metals, and market volatility has increased significantly.
