[MARKET ANALYSIS] Crude futures unmoved after Israel-Lebanon ceasefire extension, metal muted

Crude futures have held onto Thursday’s gains, with Brent June holding above the USD 106/bbl handle while WTI June pulls back slightly from the USD 97/bbl handle. Just before the futures open, US President Trump announced the 3-week extension of the Israel-Lebanon ceasefire. Trump highlighted that the talks went very well and that the US will work with Lebanon to protect itself from Hezbollah; crude prices were unreactive following the post by President Trump. Updates on the Iran conflict have been limited, with the latest report by CNN detailing that the US military are developing plans to target Iran’s Hormuz defences if the ceasefire fails.
Precious Metals trade muted, with spot gold oscillating in a tight USD 4687-4711/oz range. This comes ahead of a light data schedule. CME announced that they are to cut the initial margin on its COMEX 100 gold futures and COMEX 5000 silver futures to 6% (prev. 7%) and 11% (prev. 14%), respectively.
Base Metals lack direction. 3M LME Copper gapped back below USD 13.3k/t and currently holds below, catching up to the risk-off tone in the latter part of Thursday’s session.