Venezuela Crisis Unlikely to Skew Global Oil and Metal Markets

Experts assert that ongoing tensions involving Venezuela will not significantly affect global oil, gold, or silver prices. Despite Venezuela's vast oil reserves, its role in the global market remains limited due to sanctions and poor infrastructure. Recent developments, including the capture of President Maduro, have not shifted economic projections.

In the midst of ongoing geopolitical tensions, market experts indicate that the Venezuela crisis is unlikely to majorly influence global oil and precious metals markets. Despite Venezuela's substantial oil reserves, its impact on the international stage is minimal due to longstanding sanctions and deteriorated infrastructure, according to analysts.

Ajay Bagga, a seasoned banking and market expert, highlighted Venezuela's diminished role, noting the GDP plummeted from $350 billion in 2012 to a mere $80 billion in 2025. He remarked that the potential loss of Venezuela's oil production would barely affect the global supply chain, given the vast scale of the global market.

Additionally, Bagga pointed out that recent trends in gold and silver prices are more closely tied to safe-haven investment strategies than specific events in Venezuela. This sentiment was echoed by energy policy expert Narendra Taneja, who said Venezuela's limited refining capabilities mean minimal disruption is expected. Meanwhile, geopolitical tensions rose after the US military captured President Nicolas Maduro, escalating with President Donald Trump's assertive remarks on US capabilities.

(With inputs from agencies.)