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Metal’s Outlook

Bullion Outlook

• Gold prices are likely to trade in a very thin range as most of the Global market are closed on the eve of New Year’s Day. Meanwhile, increasing probability of rate cut in March would support the bullions to hold their ground. Further, investors will keep an eye on major economic numbers from the US this week to measure the frequency of rate cut in the coming year.

• MCX gold is expected to remain inside the range of 63,000 and 63,400. Only a move above 63,400 would open the doors towards 63,800.

• MCX silver is likely to hold the support of 50 day EMA at 73600 and rise towards 74,800. Only close above 74,800, it would extend its gains towards 75,500.

Base Metal Outlook

• Copper prices are expected to trade lower today amid weakness in the manufacturing activity in China. Factory activity shrinks more than expected last month and contracted for the third straight month in December. Meanwhile. depleting stocks in SHFE and persistence supply concerns would limit the downside in the red metal.

• MCX Copper January is expected to face the hurdle near 733 and weaken towards 727 mark. Below 727, it would slide further towards 721.

• Aluminum is expected to face the hurdle near 213 and weaken towards 210.

Energy Outlook

• Crude oil prices are likely to weaken further amid easing concerns in the Red Sea. Further, increasing Global supplies and slowing demand from China would also weigh on the oil prices. Meanwhile, trading holiday in most of the markets could lead to a less volatile session in the domestic exchange.

• MCX Crude oil January is likely to move in the range 5900-6100. Only close below 5900, would weaken it again towards the 5800 mark.

• MCX Natural gas January future is likely to face the hurdle near 215 and move lower towards 205 amid higher inventory levels and mild weather in US.

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