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Bullion Outlook

* Spot gold is expected to face the hurdle near $2360 and move lower towards $2320 amid elevated inflation expectation in US. Further, hawkish comments from most of the members to keep the rates higher for longer would limit any major upside in the yellow metal. Today focus will remain on US PPI numbers, which is expected to rise by 0.3% MoM. Further, investors will also eye on Fed chair Powel’s speech to get more clarity on the Fed’s interest rate path.

* MCX Gold June is expected to consolidate between 71730 and 72420. A move below 71730 would weaken the precious metal to slide towards 71300. On the flipside a move above 72420, it would rally towards 72800.

* MCX Silver July is expected to hold the support near 84,000 and move towards the initial hurdle at 85,250. Only a move above 85,250, it would open the doors towards 86,000.

Base Metal Outlook

* Copper prices are expected to extend its gains amid supply concerns and hopes of fresh stimulus from China. In a latest development China is likely to sell its first batch of CNY1 trillion worth of ultralong bonds to support economic growth as the property sector growth is lagging. Additionally, low availability of material hampered the global supplies which could lead prices to stay higher.

* For the day MCX Copper May is likely to hold the support near 875 and move towards 892. Only a move below 875 it would correct towards 870.

* Aluminum May future is expected to consolidate in the band of 230 and 236. Only a move below 230 it would turn weaker and slide towards 227.

Energy Outlook

* NYMEX Crude oil is expected to hold the support near $78 and move towards key hurdle at $80 on tighter supply outlook. Persistence tension in the Middle east has raised the concerns that the war might spread to Lebanon and hurt the global supplies. Further, growing speculation that OPEC+ will extend its production cuts to the 2 nd half of the year would also limit its downside. Meanwhile, investors await for US inflation data which could bring more clarity on the Fed’s interest rate path.

* MCX Crude oil May future is expected to rise towards 6680, as long as it trades above 6500.

* Natural Gas prices are expected to hold its gains amid forecast of warm US temperature which will boost natural gas demand from electricity providers. MCX Natural Gas is expected to rise towards 205, as long as it holds above 186.

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