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Daily Commodities Outlook

Bullion Outlook

• Gold prices edged higher on Thursday as the US dollar fell to a threemonth low after the release of minutes from the last meeting of the Federal Reserve's policy committee, which showed some members are looking to slow the pace of interest rate hikes

• Further, growing fears of a global economic slowdown continued to support bullion prices

• Gold prices are expected to trade with a positive bias for the day amid weakness in US dollar. Further, bullion prices may be supported on expectations that the Fed would moderate the size of rate hikes to 50 basis points in December after delivering its fourth straight 75 basis point increase earlier this month. MCX Gold is likely to surpass the hurdle of ? 52,800 to continue its upward trend towards the level of ? 52,950 in the coming trading session

Base Metal Outlook

• LME copper prices rose on Thursday amid China's supportive measures for its troubled property sector

• Further, copper prices were supported on weak dollar and on prospect of the Federal Reserve slowing its pace of interest rate hikes

• Chile state miner Codelco, the world's top producer of copper, disputed reports it intended to slash shipments to China next year amid worries over production

• MCX Copper prices are expected to trade with a positive bias for the day on expectations that China's copper demand may rise strongly in 2023, amid production of electric vehicles and rising investment in renewable power projects. Additionally, prices may rally on weakness in dollar and optimistic global market sentiments. MCX Copper (Dec) is likely to trade towards the level of ? 684

Energy Outlook

• WTI crude oil prices advanced yesterday after EU members failed again to agree on a level for the Russian price cap

• Further, crude oil prices were supported after the Kremlin on Thursday said Russia does not plan to supply oil and gas to countries that support the cap but it will make a final decision once it analyses the figures

• Meanwhile, sharp upside was restricted as US gasoline and distillate inventories rose substantially last week and widening COVID-19 controls in China

• Crude oil prices are expected to trade with a negative bias for the day on ease in concern over oil supply and bigger than expected build in US gasoline inventories. Further, rising COVID-19 cases in China forced local authorities to tightened control to stamp out the outbreaks. MCX Crude oil is likely to break the key support level of 6390 to trade in downward trend towards the level of 6200 in the coming trading sessions

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