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Below is Daily Commodity Article by Mr. Prathamesh Mallya, AVP- Research, Non-Agri Commodities, and Currencies, Angel One Ltd

GOLD

On Thursday, gold prices ended their winning streak as bullion fell by almost 1% as a result of a stronger dollar and positive US economic data.

Traders are now awaiting US consumption and expenditure figures that will be released later today in order to determine the Federal Reserve's position on rate hikes.

The US economy continued to develop at a rapid rate in the fourth quarter as consumer spending increased, but the pace of expansion seems to have slowed significantly in the latter months of the year.

Outlook: We expect gold to trade lower towards 56800 levels, a break of which could prompt the price to move lower to 56680 levels.

CRUDE OIL

Crude prices bounced back on Thursday, as Brent and NYMEX both ended on a higher note, gaining over 1 percent each.

Gains were driven by positive US economic data and growing expectations that the reopening of the Chinese economy would increase demand.

The US Federal Reserve may be able to moderate the rate of interest rate increases, easing concerns about a slowdown in economic activity, thanks to improving GDP and inflation figures in the country.

Outlook: We expect crude to trade higher towards 6600 levels, a break of which could prompt the price to move higher to 6650 levels.

BASE METALS

All the metals on the LME ended on a higher note, except for aluminum, which ended on a lower note, after stocks in the LME warehouse system jumped by 40,200 metric tons.

Although gains were constrained by the week-long Lunar New Year holiday in major customer China, which has decreased market activity and metal demand, copper prices gained on Thursday as supply fears increased.

Copper prices have increased by more than 20% since November due to a declining currency and expectations for more Chinese demand now that the country has abandoned its zero-COVID policy, although prices have barely changed since Chinese markets closed.

Top copper producers Chile and Peru's worries about supply disruption have increased worries that increased demand from China's reopening could strain a market that is already constrained.

Outlook: Metal prices are predicted to remain high due to escalating demand, which is aided by developments in China and a weakening currency.

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