By Tapan Patel
Commodity costs traded combined with many of the commodities within the non-agro phase stored constructive buying and selling all through the week whereas only a few managed to finish in inexperienced. Bullion costs pared features on constructive US knowledge and stronger greenback forward of the US FOMC meet this month. Base metals stored a agency buying and selling vary on China re-opening and demand development prospects. Crude oil costs rallied to $120 per barrel on tight provides with EU sanctions on Russia regardless of OPEC plus mountain climbing output quota.
Gold costs traded regular with spot gold costs at COMEX ended marginal down close to $1851 per ounce for the week. Gold August futures at MCX fell by 0.12% to Rs. 50984 per 10 gram regardless of rupee depreciation. The spot rupee fell by 0.03% at 77.61 in opposition to the greenback for the week. Gold ETF holdings witnessed outflows as holdings at SPDR Gold shares declined to 1066 tonnes from earlier week’s 1070 tonnes. The CFTC knowledge confirmed that internet speculative positions have decreased by 11200 heaps within the final week.
Silver costs led to purple with spot silver costs at COMEX fell by 0.77% to $21.92 per ounce for the week. MCX Silver July futures declined by 0.73% to Rs. 61660 per KG for the week. Silver costs pared weekly features on Friday following stronger greenback and fall in industrial metals. The CFTC knowledge confirmed that internet speculative positions have decreased by 100 heaps within the final week.
Bullion costs stored agency buying and selling vary all through the week with COMEX gold hitting highs close to $1870 per ounce on weaker greenback and inflation worries. The financial development worries additionally boosted some protected haven shopping for in treasured metals for the week. However, Friday’s US Non-farm patrol halted the ahead march of the dear metals. The Employers added 390,000 jobs whereas the jobless price remained regular at 3.6% for a 3rd month in a row. The constructive US knowledge pressured bullion costs on danger on sentiment with a rally in greenback index. The greenback index ended 0.46% up at 102.14 whereas US 10 12 months treasury yields had been at 2.94% for the week. Bullion costs could preserve their present buying and selling vary forward of the US FOMC assembly this month, the rally in crude oil costs could preserve inflation hedge demand up for treasured metals, limiting draw back.
We count on gold costs to commerce sideways to up this week with COMEX spot gold resistance at $1870 per ounce and assist at $1810 per ounce. At MCX, Gold August costs have close to time period resistance at Rs. 51500 per 10 grams and assist at Rs. 50300 per 10 gram. COMEX Spot silver has close to time period resistance at $22.70 per ounce with assist at $21.40 per ounce. MCX Silver July has necessary resistance at Rs. 63800 per KG and assist at Rs. 59800 per KG.
(Tapan Patel, Senior Analyst (Commodities), HDFC Securities. Views expressed are the creator’s personal.)
Source: www.financialexpress.com”