I. Precious Metals
Gold

Gold gained 0.13 percent at $1,225.70 per ounce on Tuesday as the U.S. dollar slipped and market watchers anticipated U.S. economic growth data on Friday. The dollar index, which measures the greenback against a basket of six major currencies, fell 0.2 percent to 94.59 after touching a one-year high last week.

Market watchers largely expect second-quarter U.S. economic growth to top current forecasts of 4.1 percent. But if there's any kind of whiff in those numbers, we could see a spike in gold. Gold has shed more than 10 percent since April. Last week it hit a one-year low.

The Trump administration on Tuesday said it will use a Great Depression-era program to pay up to $12 billion to help U.S. farmers weather a growing trade war with China, the European Union and others that the president began. It is a clear signal the U.S. President Donald Trump is determined to stick with tariffs as his weapon of choice in the conflict. The president reaffirmed his support for tariffs.

An escalating trade war is expected to trigger a downward trend for non-dollar currencies, weighing on gold prices.

Silver

Silver rose 0.8 percent at $15.50 per ounce. Tracking gold after the dollar pulled back, it tested the 10-day moving average of 15.55.

On weekly chart, silver has fallen for six weeks, without signs of bottoming up this week. Investors shall closely watch the support at $15.4.

II. Commodities
Crude Oil

Oil prices rose on Tuesday as the market shifted focus to the possibility of increased Chinese demand, drawing attention away from oversupply worries and trade tensions between China and the United States. Brent crude settled 38 cents higher at $73.44 a barrel. U.S. West Texas Intermediate (WTI) settled up 63 cents to settle at $68.52.

Reports that China will increase infrastructure spending helped lessen fears that U.S.-China trade tensions will reduce the country's demand for oil. Infrastructure spending from China in the past had really jacked up oil demand. But decreases in global refiner demand continue to weigh on prices.

Iran, OPEC's third-largest producer, which pumps 3.75 million barrels per day, has come under increasing U.S. pressure, with the administration of President Donald Trump pushing countries to cut all imports of Iranian oil beginning in November. Saudi Arabia and other large producers are ramping up output to offset likely losses as the November deadline approaches.

Copper

The copper price closed up 2.7 percent at $6,295 from an earlier $6,328, matching the high on July 11. After falling for six weeks in row, the strength in the first two trading sessions of this week almost pare the losses posted in the past two weeks.

But in the medium term, the base metal is still trapped in the downtrend, with both weekly and monthly moving averages breaching below key supports. In particular, the 20-month moving average at $6,430 kept copper prices in check, suggesting further fall in coming sessions.

Soybean

U.S. soybean futures climbed on Tuesday as the Trump administration said it would provide up to $12 billion in aid to shield American farmers from economic pain stemming from trade disputes. The program will include direct payments for farmers, according to the U.S. Department of Agriculture.

The August soybean contract rose 10-1/4 cents a bushel at the Chicago Board of Trade. The November soybean jumped 10-1/2 cents to $8.73-1/4 a bushel.

Dealing Room, ICBC Beijing Branch
                        Lv Yan