Bullions counter may trade on weaker path as yellow metal prices were on track for a fourth consecutive weekly loss as recent U.S. jobs data and hawkish comments from Federal Reserve policymakers strengthened bets for higher-for-longer interest rates, weighing on non-yielding bullion. Gold can move in range of 58200-58600 while silver also can move in range of 70000-72000.
Bullions counter may trade on weaker path as yellow metal prices were on track for a fourth consecutive weekly loss as recent U.S. jobs data and hawkish comments from Federal Reserve policymakers strengthened bets for higher-for-longer interest rates, weighing on non-yielding bullion. Gold can move in range of 58200-58600 while silver also can move in range of 70000-72000. Meanwhile, Fed Bank of Dallas President Lorie Logan said there was a case for a rate rise at the June policy meeting, in comments that affirmed her view that more rate increases will be needed to cool off a still-strong economy.
In base metal counter, Copper can trade on negative path as it can move in range of 713-719. The market is paying close attention to data such as the US non-farm payrolls data that will be released today. Zinc may remain on sideways path as it can move in range of 212-218. The monthly output of zinc ingots was 555,500 mt in June, and is expected to be 544,800 mt in July. In addition, more than 30,000 mt of imported zinc may flow into China. Aluminum can trade on subdued path in range of 192-197. Market should also pay attention to the opportunities for the inflow of imported aluminium ingots brought about by the narrowing of the domestic and overseas price difference.
ENERGY: Crude oil may remain on positive note as it can move in range of 5900-6050. Oil prices rose slightly on Friday and were on track for their second straight weekly gain, as resilient demand resulted in a larger-than-expected fall in U.S. oil stocks, offsetting fears of higher U.S. interest rates. U.S. crude stocks fell more than expected on strong refining demand, while gasoline inventories posted a large draw after an increase in driving last week, the Energy Information Administration said on Thursday. That comes as top oil exporters Saudi Arabia and Russia announced a fresh round of output cuts for August. The total cuts now stand at more than five million barrels per day (bpd), equating to 5% of global oil output. OPEC will likely maintain an upbeat view on oil demand growth for next year when it publishes its first outlook later this month, predicting a slowdown from this year but still an above-average increase, sources close to OPEC said. Natural gas prices may trade on mixed path in range of 210-220.
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