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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 drifted lower, adding utp to the tally of weekly loss, as prices settled with a marginal 0.13 percent cut.

The number of People filing new jobless benefits claims unexpectedly decreased last week, indicating that the labour market remains tight.

Another obstacle for gold was the dollar index, which crept to 7-week highs.

Another set of data released on Thursday revealed that the previously estimated 2.9% rate of growth in the fourth quarter of the gross domestic product had been reduced to a 2.7% annualised rate.

Outlook: We expect gold to trade lower towards 55330 levels, a break of which could prompt the price to move lower to 55140 levels.

CRUDE OIL

 Crude prices on Thursday witnessed a bounceback, as prices of both the benchmark indices inched higher, snapping the run of losing streaks.

On the basis of Russia's promises to reduce oil exports from its western ports by up to 25% in March, which exceeded its planned production cuts of 500,000 barrels per day, both benchmark crude indices increased by almost 2%.

Following a 4% drop the previous week, concerns about rising interest rates would strengthen the currency have kept oil prices down for the week.

Outlook: Supply cuts from one of the major oil producers will keep crude prices underpinned.

BASE METALS

Weakness extended in the base metals pack, as nearly all the metals concluded the Thursday's session on a lower note, with Nickel being the top losing metal of the lot.

Due to the weak demand in China, the world's largest consumer, copper prices are anticipated to experience a weekly fall.

But, the halt of ore processing at a significant mine in Panama made the global mining supply problems worse.

Copper supply in Indonesia, Peru and Chile is also facing disruptions, although it is anticipated no to be severe enough to shift the copper concentrate market balance into a deficit this year.

Outlook: We expect copper to trade lower towards 756 levels, a break of which could prompt the price to move lower to 746 levels.

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