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Metal’s Outlook

Bullion Outlook

* Spot gold is likely to rise further towards $2315 hitting another record high as long as it holds support near $2280 level amid weakness in dollar and retreat in US treasury yields from multi-month highs. Dollar and Yields are moving south on renewed expectation of rate cut in June after soft Services PMI data. Further, policymakers signaled that it would be reasonable to cut interest rate 3 time this year. Moreover, escalating geopolitical tensions in Middle East and Ukraine will keep bullion's safe haven demand intact. Additionally, expectation of disappointing economic data from US would aid gold prices

* MCX Gold June prices is likely to rise further towards 70,000 level as long as it sustains above 69,200 level. On Flip side, only close below 69,200 would change the course of direction pushing prices towards 68,500 level

* MCX Silver May is expected to follow gold and rise further towards 79,500 level as long as it sustains above 78,200 level.

Base Metal Outlook

* Copper prices expected to continue with its upward movement amid weakness in dollar and optimistic global market sentiments. Further, prices may rally on bullish demand outlook from China and supply worries. Additionally, prices may rally as recent batch of economic data from developed nations reinforced hopes that central banks will soon pivot to looser monetary policy. Meanwhile, Chinese markets will remain closed on Thursday and Friday for a holiday

* MCX Copper is expected to move further north towards 798 level as long as it stays above 785 level. A break above 798 would open doors for 805 levels

* Aluminum is expected to rise towards 220 level as long as it remains above 217 level

Energy Outlook

* NYMEX Crude oil is expected to rise further towards $86.50 levels as long as it hold the support near $84.50 levels amid weakness in dollar and rise in risk appetite in the global markets. Further, prices may move up on concerns of lower supply as major producers are keeping output cuts in place. OPEC+ in its recent meeting kept oil supply policy unchanged but pressed some countries to boost compliance with output cuts. Moreover, mounting tension in Middle East and Eastern Europe has raised fears over supply disruption

* MCX Crude oil is likely to rise towards 7250 levels as long as it trades above 7000 levels. A sustain break above 7250 level would open doors for 7330 levels

* MCX Natural gas April is expected to rise back towards 50-day EMA of 161 levels as long as it stays above 20-day EMA around 148 levels ahead of EIA’s weekly natural gas inventories report.

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