Brent’s rise to a five-month high coincided with a 3.57% fall in silver, which Anadolu Agency quoted at $55.89 an ounce at 4 a.m. ET (0800 UTC) Thursday as markets reassessed inflation and rate risks.
The agency said silver was down $2.07. Its report also said gold fell below $4,100 an ounce.
Brent crude rose 2.2% to $111.19 a barrel, the Associated Press reported. The AP said market participants faced uncertainty over how long the Iran war would keep energy markets unsettled.
Saudi Arabia’s Ministry of Energy said air defenses intercepted a drone targeting a facility at the Shaybah oil field on Oct. 21. The ministry said the field continued operating after the incident. It also reported that falling debris killed two residents and injured two, without identifying who launched the drone.
Anadolu Agency linked oil’s rise to the Shaybah incident and said traders were considering a possible rate increase in December. The agency connected higher energy prices with concern that inflation could persist and interest rates remain elevated.
FXStreet reported that silver had reversed from around $58 and reached session lows below $56. Its Oct. 22 analysis identified $55.10 and $54.77 as support levels; an Oct. 14 analysis had identified $54.77 as the year’s low. FXStreet also noted that silver pays no interest, a feature that can leave it under pressure when rates rise.
FXStreet and Kitco separately quoted silver above $57 on Oct. 20, as EconoTimes’ comparison of those readings noted.
Anadolu Agency said markets were weighing a possible December rate increase. The Federal Reserve calendar lists the next Federal Open Market Committee (FOMC) meeting for Oct. 27-28.
