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

GOLD

Gold prices on Friday remained subdued, however it continued to extend its winning run. The bullion ended at 1789.2$ per ounce, marginally up 0.17 percent.

Gold prices essentially held steady as US inflation data and the Fed's decision to raise interest rates are due next week.

The number of Americans submitting new applications for unemployment benefits increased slightly last week, indicating that the labour market is still tight and strong despite rising concerns about a recession.

Outlook: Gold prices might come under pressure, given the likely mood that the US Fed would hike the interest rates by 50 basis points.

CRUDE OIL

Crude prices after dropping to year lows on Wednesday, continued its downward trajectory, as both the benchmark indices ended lower.

The fall, however, appeared to be contained when crude prices rose following an incident that resulted in the suspension of a significant Canada-to-US crude pipeline.

The accident at Canada's TC Energy's Keystone pipeline in the United States saw more than 14,000 barrels of crude oil spill into a creek in Kansas, making it one of the worst crude spills in the United States in over a decade.

Outlook: Crude prices continues to be under pressure, however, the downside looks capped, given the shutdown of the pipeline in the US.

BASE METALS

On Thursday the metals pack ended on a positive, except LME Nickel, which was the only losing metal.

Whereas, copper prices jumped on Thursday on anticipation that a relaxation of coronavirus restrictions in top consumer China will enhance demand.

Weakening growth in China and in other areas of the world dragged prices from a high of $10,845 in March, but the market is currently predicting an economic rebound.

Data showed that China's passenger vehicle sales declined for the first time in six months in November.

Outlook: Base metals prices are projected to remain elevated given the favourable views from China, which can further fuel the demand for metals.

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