Bullions counter may witness profit booking at higher levels as yellow metal prices hit a pause on Friday after scaling to historic highs in the previous session on expectations of lower U.S. interest rates this year, while traders await further cues from a key jobs report due later in the day.
BULLIONS
Bullions counter may witness profit booking at higher levels as yellow metal prices hit a pause on Friday after scaling to historic highs in the previous session on expectations of lower U.S. interest rates this year, while traders await further cues from a key jobs report due later in the day. Overall gold (Jun) can move in range of 69200-69600 while silver (May) also can move in range of 78000-79500. Powell reiterated that the U.S. central bank has time to deliberate over its first rate cut, given the strength of the economy and recent high inflation readings. Investor focus will now shift to U.S. March non-farm payrolls data due at 1230 GMT which could shed more light on the timing of the Fed’s first rate cut.
BASE METALS
In base metal counter, Copper prices can witness some profit booking at higher levels as it can move range of 787-800. Chilean state miner Codelco, the world’s biggest copper miner, said in a statement on Thursday that its production for the first three months of 2024 landed near 300,000 metric tons. Copper rallied to the highest in 14 months as investors flock to the bellwether industrial metal in response to rising supply risks and hopes for a global recovery in demand. Disruptions at major mines have left smelters paying historically steep prices to get hold of mined ore, and Chinese plants — which produce more than half of the world’s refined copper — are moving closer to implementing a joint output cut in response. Zinc may trade on sideways path as it may move in range of 228-236.
ENERGY
Crude oil may continue its surge higher it may move in range of 7150-7350. Oil prices extended gains on Friday and headed for a second weekly gain, supported by geopolitical tensions in Europe and the Middle East, concerns over tightening supply, and optimism about global fuel demand growth as economies improve. Brent and WTI are set to notch a more than 4% gain this week, climbing for a second straight week, after third-largest OPEC producer Iran vowed revenge against Israel for an attack that killed high-ranking Iranian military personnel. The Organization of the Petroleum Exporting Countries (OPEC) and allies led by Russia, known as OPEC+, this week kept their oil supply policy unchanged and pressed some countries to increase compliance with output cuts. Natural gas prices may trade on mixed path as it may move in range of 145-155. Natural gas futures fell for a second straight session on Thursday, dragged lower by forecasts for benign weather and government inventory data that showed stout supplies in storage.
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