Bullions counter may trade on mixed path as investors refrained from making big bets ahead of a report on U.S. October non-farm payrolls
DAILY MARKET NEWS AND OUTLOOK
BULLIONS
Bullions counter may trade on mixed path as investors refrained from making big bets ahead of a report on U.S. October non-farm payrolls that could offer more clues to the Federal Reserve’s interest rate path. Gold can move in range of 60700-61200 while silver also can move in range of 70500-71500. Bullion was set to snap a three week-winning streak, having declined nearly 1% for the week so far. Prices rose above the key $2,000-per-ounce level last week, after escalating tensions in the Middle East boosted safe-haven demand. In line with market expectations, the Fed held rates steady on Wednesday, and investors raised bets that the U.S. central bank may have concluded rate hikes, sending the dollar and Treasury yields lower. Market focus now shifts to U.S. non-farm payrolls data, due at 1230 GMT, which is expected to show that employers added 180,000 jobs last month.
BASE METALS
In base metal counter, Copper can move on firm path as it can move in range of 707-715. Supply concerns emerged with sharp declines in copper stocks at the Shanghai Futures Exchange and the London Metal Exchange, compounded by production downgrades from major mining companies due to operational issues in South American mines. China’s manufacturing data falling short of expectations further dampened the demand outlook for copper. Although Chile’s copper output rose by 4.1% year-on-year in September, the overall refined copper market recorded a deficit of 33,000 metric tons in August, in contrast to a 30,000 metric tons deficit in July. Aluminum can move in range of 204-208.
ENERGY
Crude oil may trade on mixed path as it may move in range of 6800-7000. Oil prices heading for their second straight week of losses as the U.S. central bank left the door open for possible future rate hikes and worries that the Middle East conflict would disrupt supply eased. Geopolitical concerns remained in focus, as Israeli forces on Thursday encircled Gaza City – the Gaza Strip’s main city – in their assault on Hamas, the military said, but the Palestinian militant group resisted their drive with hit-and-run attacks from underground tunnels. The White House said it was exploring a series of pauses in the Israel-Hamas conflict to help people safely exit Gaza and allow humanitarian aid to get in, but reiterated its opposition to a full ceasefire. On the supply side, top oil exporter Saudi Arabia is expected to reconfirm an extension of its voluntary oil-output cut of 1 million barrels per day through December. U.S. oil rig count data is expected later in the day and will serve an indicator of future production. Natural gas prices may trade on volatile path as it can move in range of 285-305.
Disclosure
Globe Capital Market Limited (“GCML”) is a Stock Broker registered with BSE, NSE, USE and MSEI in all the major segments viz. Capital, F & O and CDS segments. GCML is also a Depository Participant and registered with both the Depositories viz. CDSL and NSDL. Further, GCML is a SEBI registered Portfolio Manager. GCML includes subsidiaries, group and associate companies, promoters, directors, employees and affiliates.
Globe Commodities Limited, Globe Derivatives and Securities Limited & Globe Fincap Limited are subsidiaries of GCML. Rolex Finvest Private Limited, A to Z Consultants Private Limited, A to Z Venture Capital Limited, M. Agarwal Stock Brokers Private Limited, A M Share Brokers Private Limited, Shri Adinath Advertising Company Pvt. Ltd., Orient Landbase Private Limited, Bolt Synthetic Private Limited, Price ponder Private Limited and Lakshya Impex Private Limited are associates of GCML. Globe Comex International DMCC is step down subsidiary of GCML.
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