[MARKET ANALYSIS] Precious metals rebound as haven demand increases, whilst strong Chinese data gives base metals some momentum

• Spot gold continued its rebound, shrugging off recent USD strength that hampered price action yesterday for the yellow metal, trading just below the USD 5,200/oz mark. Haven demand has underpinned gold prices as the conflict in the Middle East reaches its fifth day. Silver prices are also benefitting after facing pressure during yesterday's session. XAU and XAG are trading in the respective ranges of USD 5,083.91-5,190.78/oz and USD 81.83-86.66/oz.
• Copper prices are trading higher thus far in the European session, tracking mild tailwinds following China’s manufacturing PMI data, which showed the greatest improvement in manufacturing conditions in more than five years. Analysts at Citibank noted that disruptions to the Gulf's energy could weigh on copper prices as the conflict persists, potentially causing the red metal to fall below USD 12k/t. At the time of writing, 3M LME copper trades at the upper range of 12.94-13.1k/t.

The recent rebound in precious metals, particularly gold and silver, reflects heightened haven demand amid escalating geopolitical tensions, notably in the Middle East. Meanwhile, better-than-expected Chinese manufacturing data is providing momentum for base metals like copper, although concerns remain about potential supply disruptions from the ongoing conflict.