Commodity Capsule: Brent crude oil falls; gold trades higher | Watch video

Commodity Capsule: Gold prices edged higher on Thursday, hovering close to the key $2,000 per ounce level, amid a weaker dollar and lower U.S. Treasury yields.

The dollar was down 0.1 per cent against its rivals after gains in the last two sessions and making gold less expensive for other currency holders. 

Benchmark U.S. 10-year Treasury yields fell to a two-month low on Tuesday.

Oil prices fell over 1 per cent on Thursday, extending losses from the previous session, after OPEC+ postponed its meeting, leading to speculation that producers might cut output less than earlier anticipated.

Brent futures fell as much as 4 per cent on Wednesday, while US WTI crude dipped as much as 5 per cent. However, both the benchmarks recovered considerably to end 1 per cent lower.

Trade was expected to remain muted due to the Thanksgiving holiday in the United States.

OPEC+ delayed to November 30 a ministerial meeting where they were expected to discuss oil output cuts.

Sources reveal that producers were struggling to agree on output levels and hence possible reductions ahead of the meeting originally set for November 26.

Angola, Congo, and Nigeria were seeking to raise their 2024 supply quotas above the provisional levels agreed at the OPEC+ June meeting.

Nickel prices fell on Thursday, with the London contract hitting its lowest level in more than two-and-a-half years, amid lingering oversupply.

Nickel on the London Metal Exchange fell as much as 0.6% to $16,335 per metric ton, the lowest since April 2021.

Shanghai nickel contract shed 3.2 per cent to 127,790 yuan, hovering lowest since September 2022.

LME nickel has lost 45 per cent and SHFE nickel has shed 37 per cent year-to-date, the worst performers across the base metals complex on both exchanges.

The global nickel market had a surplus of 155,000 tons in the first nine months of this year, up from a surplus of 60,500 tons a year ago-- International Nickel Study Group.

A supply surge from Indonesia has outpaced demand, causing the surplus.

Other base metals on LME have been hovering in a range with a positive bias.

China's state planner said on Thursday that it would closely monitor changes in the iron ore market and further tighten supervision of spot and futures trading in its latest effort to curb a rally in the prices.

NDRC said it met with iron ore trading companies and futures firms to understand their activity in the spot and futures markets after a "continuous and rapid" rise in iron ore prices.

Iron ore prices fell after NDRC issued the statement, on both Dalian and Singapore Exchange.

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