Crude oil prices fell during a volatile trading session on Tuesday - HDFC Sescurities Ltd
GLOBAL MARKET ROUND UP
Gold and silver experienced a recovery on Tuesday, with silver regaining most of its losses after its largest single-day drop in over five years. A persistent supply shortage is keeping silver on track for a monthly gain. Spot silver rose above $75 an ounce on Tuesday, following a 9% decline in the previous session, while gold also edged higher after its steepest drop in two months. Contributing to Monday’s declines were tighter margin requirements on exchanges and market indicators that signaled an overstretched rally, with thin liquidity exacerbating recent price fluctuations. Both metals traded lower during Wednesday's Asian trading session due to thin liquidity and year-end adjustments.
Meanwhile, the Federal Reserve's December meeting minutes, released yesterday, indicated that most officials believe further rate cuts may be appropriate if inflation continues to decline. However, there is division among them regarding the timing and extent of any potential reductions
Crude oil prices fell during a volatile trading session on Tuesday. Ongoing mixed signals are likely to keep oil prices within a limited range. Currently, the main driver for potential price increases is geopolitical risk, as Saudi Arabia, Russia, the United Arab Emirates, Venezuela, Iran, and Nigeria have all made headlines recently, raising concerns about potential reductions in supply. Additionally, expectations of a significant surplus due to increased output from both OPEC+ and non-OPEC producers, coupled with sluggish demand growth, have put downward pressure on oil prices
Natural gas futures declined in a volatile session, reversing earlier gains, as forecasts for early January shifted to warmer temperatures
China’s factory activity surprised with an expansion in December, snapping an eight-month contraction streak that was the longest slump on record. The official manufacturing PMI was 50.1 in December compared with 49.2 in November.
Gold
* Trading Range: 134300 to 137180
* Intraday Trading Strategy: Sell Gold Mini Jan Fut at 135900-135925 SL 136550 Target 135325/134780
Silver
* Trading Range: 222500 to 244780
* Intraday Trading Strategy: Sell Silver Mini Feb Fut at 239000-239050 SL 241750 Target 233900/231775
Crude Oil
• Trading Range: 5120 to 5300
• Intraday Trading Strategy: Buy Crude Oil Jan Fut at 5180-5185 SL 5120 Target 5265/5300
Natural Gas
* Trading Range: 333 to 375
* Intraday Trading Strategy: Sell Natural Gas Jan Fut at 357-358 SL 366 Target 350/344.8
Copper
* Trading Range: 1225 to 1350
* Intraday Trading Strategy: Sell Copper Jan Fut at 1300-1305 SL 1329.25 Target 1274/1256.8
Zinc
* Trading Range: 301.80 to 312
* Intraday Trading Strategy: Sell Zinc Jan Fut at 307.50-308 SL 309.80 Target 305.50/304
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