IGI Logo

Daily Commodity Outlook

Bullion Outlook

* MCX gold prices traded flat on Friday despite strong macroeconomic data from the US

* The US unemployment rate fell to 3.5% in September 2022, matching July's 29-month low and remaining below market expectations of 3.7%

* MCX gold prices are expected to trade with a negative bias for the day amid a strong US dollar. It is likely to break the key support level of Rs 51,800 to trade in a downward trend towards the level of Rs 51,600 in the coming trading session

* Additionally, silver prices are likely to take cues from gold prices and trade in a downward trend towards the level of Rs 59,500

Base Metal Outlook

* MCX copper and aluminium prices tumbled on Friday amid strong US dollar index and after the US Federal Reserve officials reaffirmed their drive to crush inflation

* Further, copper prices were pressurised by a sharp rise in copper LME warehouse inventories

* Moreover, despite the ongoing supply disruptions, concerns over macro headwinds and recession fears dented demand for base metals

 We expect copper prices to trade with a negative bias for the day amid continuous rise is copper LME warehouse inventories

Energy Outlook

* MCX crude oil prices advanced by 5.00% on Friday, holding at a five-week highs after data showed US Baker Hughes total rig count dropped from 765 to 762

* Moreover, crude oil prices were supported as Opec+ agreed to tighten global supply with a deal to cut production targets by 2 million barrels per day

* We expect MCX crude oil prices to trade with a positive bias for the day amid tightening of global crude oil supply from Opec+

To Read Complete Report & Disclaimer Click Here

Please refer disclaimer at https://secure.icicidirect.com/Content/StaticData/Disclaimer.html
SEBI Registration number INZ000183631

Above views are of the author and not of the website kindly read disclaimer