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Bullion Outlook

* Spot Gold is likely to slip further towards $4420 level amid firm dollar. Further, prices may slip as renewed hostilities in Middle East may weaken the hopes of imminent resolution between the US and Iran and reignite inflation concerns and higher interest rates for prolonged time. Additionally, investors will remain cautious ahead of job data from US as to see whether economy remains resilient enough for Federal Reserve to hold rates steady or whether softening of labor market condition could revive the case for monetary easing. Moreover, traders will analyze a partial ceasefire between Hezbollah and Israel and await further details on U.S.-Iran negotiations.

* MCX Gold Aug is expected to slip further towards Rs157,400-Rs156,400 level as long as it stays below ?160,500 level

* MCX Silver July is expected to dip towards Rs261,000-Rs259,000 level as long as it stays below Rs270,000 level.

Base Metal Outlook

• Copper prices are expected to trade with positive bias on renewed concerns about US import tariffs. The Commerce Secretary has until June 30 to give an updated recommendation to President Donald Trump on tariffs for refined copper. Ahead of that decision, premium for copper in US is rising again, prompting a renewed flow of metal to US ports. Meanwhile, sharp upside may be capped on firm dollar and risk aversion the global markets. Market sentiments are hurt on stalled peace negotiations between US and Iran. Further, investors will remain cautious ahead of slew of economic data from major economies to gauge economic health and demand outlook.

• MCX Copper June is expected to rise towards Rs1375 level as long as it stays above Rs1355 level. A break above Rs1375 level prices may be pushed towards Rs1382-Rs1390 level

• MCX Aluminum June is expected to rise towards Rs395-Rs398 level as long as its stays above Rs387 level. MCX Zinc June is likely to face stiff resistance near Rs369 level and slip towards Rs364-Rs362 level.

Energy Outlook

* NYMEX Crude oil is likely to trade with positive bias on fresh supply concerns amid hostilities in Middle East. Further, prices may rally on uncertainty over the status of ceasefire talks between US and Iran and the potential reopening of the Strait of Hormuz. US President Donald Trump said talks with Iran are continuing at a rapid pace while Iran’s semi-official Tasnim news agency reported officials were halting negotiations with the US. Report also indicated that Iran’s regional allies are considering closure of Bab el-Mandeb Strait, which is a crucial alternate path for oil to reach global market. Moreover, investors fear that exports from US may decline as US driving season may lift domestic demand, tightening global supply.

* MCX Crude oil June is likely to hold the support near Rs8500 level and rise towards Rs9100-?9200 level

* MCX Natural gas June is expected to slip towards Rs295-Rs290 level as long as it stays below Rs315 level..

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