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GLOBAL MARKET ROUND UP

* Commodity prices traded lower on Tuesday with most of the commodities in non-agro segment witnessed decline with natural gas falling the most. Bullion prices pared day’s gains on stronger dollar following positive US data. Crude oil prices declined on demand growth worries over slowdown fears. Base metals continued to trade under pressure on Euro demand concerns. The dollar index ended 0.62% up at 110.21 for the day

* The US 10-year yield up nearly 14 basis points at 3.337%. The 2-year Treasury yield rose to 3.499%, just under its recent multiyear high. Meanwhile, the ICE U.S. Dollar Index was back above 110, right around its strongest level in two decades.

* Asian stocks extended declines on Wednesday amid a jump in Treasury yields and the dollar on expectations of aggressive monetary tightening by the Federal Reserve to tackle inflation and as investors anticipate the Federal Reserve to give its summary on current economic conditions, also known as the Beige Book

Commodity Daily BULLION

Bullion prices traded lower on Wednesday with gold prices at COMEX were trading 0.41% down near $1693 per ounce while spot silver prices at COMEX fell by 0.49% to $17.91 per ounce in the morning trade. Bullion prices extended previous fall with gold prices fell bow $1700 per ounce on stronger dollar and better than expected US economic data boosting expectations of aggressive rate hike from US FED. The dollar index surgery above 110 mark lowering demand for safe haven metals.

We expect bullion prices to trade sideways to down for the day. MCX Gold Oct resistance for the day at Rs. 50400 per 10 grams with support at Rs. 49800 per 10 grams. MCX Silver Dec resistance forthe day at Rs. 53800 with support at Rs. 52200.

COMEX Gold Spot

 COMEX Silver Spot

Commodity Daily ENERGY

Crude oil prices traded lower with NYMEX WTI crude oil prices fell by 1.76% to $85.35 per barrel for the day. Crude Oil prices fell on Wednesday as COVID-19 curbs in top crude importer China and expectations of further interest rate hikes fanned concerns of a global economic recession and lower fuel demand growth. China's stringent zero-COVID policy has kept cities such as Chengdu, with 21.2 million people, under lockdown, curbing people movement and oil demand at the world's second-largest consumer.

We expect crude oil prices to trade sideways to down for the day. MCX Crude Oil September support lies at Rs. 6730 per barrel with resistance at Rs. 7050 per barrel. MCX Natural gas September contract is expected to trade weak with support at Rs. 610 and resistance at Rs. 670.

MCX Crude Oil Sep 2022

MCX Natural Gas Sep 2022

Commodity Daily BASE METALS

Base metals prices traded lower on Wednesday with most of the metals witnessed lower opening kept positive trading in the morning trade. The energy crisis is increasing concerns over demand prospects after China mounted fresh virus restrictions, extending its lockdown in districts of western megacity Chengdu to contain a Covid-19 outbreak. Prices of copper, seen as a bellwether for metals demand, have been wavering in the past two weeks as traders monitor supply losses.

Base metals may trade sideways to down for the day. MCX Copper Sept support lies at Rs. 628 and resistance at Rs. 638. MCX Zinc Sept support lies at Rs. 278, resistance at Rs. 287. MCX Aluminium Sept support lies at Rs. 195 with resistance at Rs. 203.

LME Copper 3M Forward

LME Zinc 3M Forward

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