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Metal’s Outlook

Bullion Outlook

• Gold is expected to recover its losses and move towards $2045, as long as it holds above $2010. The decline in US treasury yields would support the bullions to regain its momentum. Further, expectation of weakness in the US housing market would weigh on the dollar and raise the odds of interest rate cuts. The CME fed-watch tool indicates more than 61% probability of rate cut in March 2024.

• MCX gold is expected to find support near the 10 day EMA at 61880 and rise again towards 62,600. Only close below 61880 would open the doors towards 61600.

• MCX silver is likely to follow the yellow metal and move towards 75,200, as long as it holds above 73,800.

Base Metal Outlook

• Gold is expected to recover its losses and move towards $2045, as long as it holds above $2010. The decline in US treasury yields would support the bullions to regain its momentum. Further, expectation of weakness in the US housing market would weigh on the dollar and raise the odds of interest rate cuts. The CME fed-watch tool indicates more than 61% probability of rate cut in March 2024.

• MCX gold is expected to find support near the 10 day EMA at 61880 and rise again towards 62,600. Only close below 61880 would open the doors towards 61600.

• MCX silver is likely to follow the yellow metal and move towards 75,200, as long as it holds above 73,800.

Energy Outlook

• Crude oil prices are expected to rise again towards the $74 mark amid increasing concerns over disruption to the transportation of oil due to recent attacks on ships in the Red sea. Further, expectation of decline in Russian exports after it announced to cut the output by additional 50,000 bpd or more to support the oil prices. Moscow has suspended about two-thirds of loadings from ports due to a storm and scheduled maintenance on Friday.

• MCX Crude oil January is likely to find support near 5880 and move towards 6100 level. Only close above 6100, would open the doors towards 6250.

• MCX Natural gas December future is likely to rise towards 215, as long as it trades above the 204 mark.

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