BULLIONS
Bullions counter may open on firm note as yellow metal edged up as investors maintained a cautious stance ahead of key U.S. inflation data, which could provide more insight into the Federal Reserve’s policy trajectory. Overall gold can move in range of 71600-72300 while silver also can move in range of 94000-95500. Investors are now waiting for the April reading on the personal consumption expenditures (PCE) price index, the U.S. central bank’s preferred inflation gauge, which is due on Friday. China’s net gold imports via Hong Kong slumped 38% in April from the previous month, Hong Kong Census and Statistics Department data showed. Elsewhere, an Israeli airstrike triggered a fire that killed 45 people in a tent camp in the Gazan city of Rafah, prompting an outcry from global leaders who urged the implementation of a World Court order to halt Israel’s assault.
BASE METALS
In base metal counter, Copper prices can trade on firm note as it can move range of 890-920. Nonferrous metals prices rose on Tuesday, with Shanghai copper snapping a streak of four straight sessions of losses, on prospects of global interest rate cuts and a weaker dollar. However, in top metals consumer China, the usual premium to import copper into the country remained below zero, reflecting weak physical demand. Stockpiles of copper in warehouses tracked by SHFE continued to be elevated, above the historical average for this time of the year. The European Central Bank has room to cut interest rates as inflation slows, key policymakers said on Monday, but added it must take its time in easing policy. Meanwhile, the dollar waned following a slight pick up in risk appetite, but held tight ranges against its peers ahead of key inflation data from major economies this week that would give guidance on the global interest rate outlook. Aluminium may move on stronger path as it can move in range of 242-248.
ENERGY
Crude oil may trade on firm path as it may move in range of 6500-6650. Oil prices were steady in early Asian trading on Tuesday as investors awaited inflation data to assess future U.S. monetary policy and the production policy decisions from the OPEC+ meeting on June 2. Oil prices rose over 1% on Monday in muted trade owing to public holidays in Britain and the United States after a downbeat week characterised by the outlook for U.S. interest rates in the face of sticky inflation. The U.S. personal consumption expenditures index expected this week will be in the spotlight for further signals about interest rate policy. The index, due to be released on May 31, is viewed as the U.S. Federal Reserve’s preferred measure of inflation. All eyes are also be on the upcoming online meeting of the OPEC+ on June 2. The producers will discuss whether to extend voluntary output cuts of 2.2 million barrels per day into the second half of the year, with three sources from OPEC+ countries saying an extension was likely. Natural gas (Jun) can move on mixed path as it can move in range of 225-235.

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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