Commodity Outlook: How will bullion, metals & spices trade today
Here is a quick check on the projections for various commodities by brokerage SMC Global Securities.
Bullion remained firm as investors looked for safe-haven bets while most spices and base metals witnessed some correction. How will other commodities fare in the domestic futures market today? Here is a quick check on the projections for various commodities by brokerage SMC Global Securities.
Bullion: Gold prices jumped to a fresh six-year high on Monday as the announcement of new tariffs in the escalating Sino-US trade war sent equity markets tumbling, and investors rushing for safe-haven assets.
Bullion counter may remain on a positive path. Gold (Oct) can move up towards Rs 39,350 while taking support near Rs 39,000, while silver (Sep) can rise towards Rs 45,400 with support near Rs 44,800.
Base metals: Base metals may trade on a subdued path. Copper may trade on weaker testing Rs 435 while taking resistance near Rs 443. Zinc can dip lower towards Rs 180 while taking resistance near Rs 184. Lead may dip towards Rs 151 while taking resistance near Rs 155. Nickel may trade sideways facing resistance near Rs 1,125 while taking support near Rs 1,100. Aluminum may test Rs 136 while taking resistance near Rs 140.
Energy: Crude oil may trade with a positive path as oil prices fell on Monday, pushing US crude to its lowest in more than two weeks, as ratcheting up of tensions in the US-China war knocked confidence in the global economy.
Crude oil may dip lower towards Rs 3,800 while facing resistance near Rs 3,900. Natural gas can remain on an upward trajectory as it can test Rs 159 while taking support near Rs 154.
Spices: Turmeric futures (Sept) may witness correction till the Rs 6,700 level on cues from the spot market where prices were trading lower on poor domestic and overseas demand. Dhaniya futures (Sept) are expected to trade with a downside bias to the Rs 5,900-5,850 levels. Cardamom futures (Sept) are expected to hold on to the support near Rs 2,900 level.
Oilseeds: Soybean futures (Sept) may consolidate & trade with downside bias in the range of Rs 3,650-3,695. Soy oil futures (Sept) may witness a downside till Rs 752 & CPO futures (Sept) may correct till the Rs 552-550 levels, taking negative cues from the international market. Mustard futures (Sept) are expected to consolidate in the range of Rs 3,910-3,940.
Other Commodities: The bull-run in cotton futures (Aug) may witness a halt as it may face resistance near the Rs 21,350 level. Moong futures (Sept) are expected to witness further weakness until the Rs 6,080-6,040 levels. Castor seed futures (Sept) may face resistance near Rs 5,750.