[MARKET ANALYSIS] Oil prices take a breather after a double-digit rally as Iran digs in on Strait of Hormuz closure

WTI/Brent: WTI Apr'26 +0.2% / Brent May'26 +0.2%

• Takes a breather overnight after rallying by double-digit percentages yesterday as Iran's Supreme Leader dug in regarding the Strait of Hormuz closure, which he said should be continued and threatened that other fronts will be opened if the war persists. However, further upside is contained overnight after the US issued a new Russia-related general license permitting the sale of Russian crude oil and petroleum products loaded on vessels.

Gold: +0.9%

• Gradually clawed some of the prior day's losses after suffering from a firmer dollar and as rising oil prices further unwound Fed rate cut bets.

Copper: -0.3%

• Trades lower but is off the prior day's trough with demand dampened amid the cautious mood and with the US initiating more Section 301 investigations.

Oil prices are experiencing a pause following a significant rally, primarily due to heightened tensions surrounding the Strait of Hormuz as Iran's leadership asserts the need for its continued closure. This geopolitical stress is juxtaposed with the easing impact from U.S. regulatory changes allowing Russian oil sales, indicating a complex balance between regional risks and supply-side dynamics that could affect pricing and trader sentiment moving forward.