Mae Connelly 🌾 ❤️💙

US midterms response across key commodities: The Democrats' historic election victory has triggered an initial reassessment of US fiscal, trade and foreign policy, with precious metals emerging as the clear winners. Precious metals: Gold and silver have rallied, supported by a softer dollar and lower Treasury yields amid expectations that a Democrat-controlled Congress could constrain Trump's fiscal agenda and limit further, increasingly unaffordable fiscal expansion. Short covering has added momentum after gold reclaimed key resistance at USD 3,970, potentially setting up a challenge of the downtrend in place since August, currently around USD 4,035. Copper: Prices trade lower but off their lows as traders reassess AI-related demand prospects and whether Trump's defeat, combined with voters' focus on affordability, has reduced the likelihood of US import tariffs on refined copper. Such a shift could ease short-term supply distortions and potentially release US-held inventories back onto the global market, while longer-term supply constraints remain supportive. Energy: Oil prices have staged a modest rebound following a two-day slump as traders weigh conflicting signals over the prospects for US-Iran peace talks. Adding to the uncertainty is how Trump may respond on the foreign policy front, where his executive powers remain considerable despite a resounding electoral rebuke driven by voter frustration over the cost of living and the war in Iran. With his domestic agenda now facing greater congressional resistance, the risk of a more assertive stance abroad cannot be ignored, keeping geopolitical uncertainty firmly in focus.