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Bullion Outlook

• Spot gold is likely to consolidate in the band of $2490 and $2530 with a higher bias amid growing prospects of loose monetary policy from major central banks. Additionally, strong demand from over the counter and ETF inflows would provide support to the bullions. Meanwhile, investors are waiting for key US CPI data to get more clarity on the quantum of interest rate cut by the Fed. Today’s focus will remain of Fed members' speech which could bring more clarity in its direction.

• MCX Gold Oct is expected to consolidate in the band of 72,000 and 71,000. Only close below 71,000 it would turn weaker towards 70,600.

• Spot silver is expected to rebound towards the immediate hurdle near 20 day EMA at $28.75, as long as it holds above $27.70. MCX Silver December is expected to move higher towards 84,500, as long as it holds the key support at 82,000.

Base Metal Outlook

• Copper prices are expected to trade higher on growing bets of fresh round of stimulus from China after the inflation data indicated sluggish demand growth in the economy. Further rise in Yangshan copper premium to one-month high indicates improving demand in China. Meanwhile increasing inventory levels in LME and strong dollar would limit its upside. Focus will remain on trade balance data from China and new loan numbers which could bring further clarity

• MCX Copper September is expected to move towards the key resistance at 800, as long as it holds above 784. Only a move below 784 it would open the doors towards 778.

• MCX Aluminum is expected to face the hurdle near 223 and weaken towards 218. Only above, 223 it would rise towards 225.

Energy Outlook

NYMEX Crude oil is likely to remain in a range as supply disruptions from storm Francine could offset the demand worries. Upside in the oil prices could be capped due to sluggish demand growth from China as its shift towards lower-carbon fuels. Further declining utilization rate of refineries would also weigh on the oil prices. Meanwhile, delay in OPEC+’s planned production hikes could provide some support to oil prices. On the upside $70 would act as major resistance for price. Similarly $67 would act as strong support for prices. Closure of OTM and ATM put strike indicates weakness in the prices. A higher call base at 70 strikes would act as key resistance for prices.

• MCX Crude oil Sep is likely to consolidate in the band of 5680 and 5900 with an higher bias. Only close below 5680 it would test 5580.

• MCX Natural gas September is likely to weaken towards 175, as long as it trades under 190. Halt in exports and expectation of lower domestic demand would hurt prices

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