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Bullion Outlook

* Comex gold prices declined almost 0.50% on Wednesday due to a surge in US 10 year bond yields

* According to Fed meeting minutes released on Wednesday, policymakers at their July meeting committed to raising rates as high as necessary to bring inflation under control but the pace could be slow

* However, risk aversion in global markets and inflationary pressures restricted further downsides in bullion prices

* MCX gold prices are expected to trade with a negative bias for the day amid rising dollar index. It is trading below the key support level of | 52,000 over the last couple of trading sessions. As long as it sustains below this level, it is likely correct towards | 51,000 levels for the day

* Additionally, investors will remain cautious ahead of initial jobless claims data from the US

Base Metal Outlook

* LME aluminium prices edged higher by 0.90% on Wednesday after news that a European smelter will close due to high power prices, boosting worries about potential shortages

* Norsk Hydro said on Wednesday it will close its majority-owned primary aluminium facility in Slovakia by the end of September

*  In China, The southwestern Sichuan province ordered industrial users to suspend production from August 15-20 to prioritise residential power supply, disrupting metal production including aluminium, lithium and zinc

* Additionally, a significant increase in CFTC’s large speculators net long comex aluminium positions over the last week provided further support to prices

* MCX Aluminium prices are expected to rally towards | 214 levels for the day due to rising energy prices and on worries over tight supply

Energy Outlook

* WTI crude oil prices surged almost 1.50% on Wednesday, supported by a higher-than-expected drawdown in US crude stockpiles

* US commercial crude oil inventories dropped to 425 million barrels from 432 million barrels over the past one week

* Moreover, US crude exports hit 5 million barrels per day, the highest on record, according to EIA data as WTI has traded at a steep discount to Brent, making purchases of US crude more attractive to foreign buyers

* However, Russia has started to gradually increase its oil production after sanctions related curbs capped further gains in the oil prices

* MCX Crude prices are expected to trade in the consolidation range of | 6,800 to 7,100 levels for the day • Additionally, investors will keep an eye on natural gas storage data from the US

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