WEEKLY COMMODITY MARKET: AGRI COMMODITIES WITNESSED STRONG RALLY; CRUDE OIL GAINED NEARLY 5%

Domestic Commodity markets ended the week positively. Total turnover stood at Rs. 15067629.04 lakh in various futures & option contracts for commodities listed at MCX during the week 14th Dec to 18th Dec 2020.

The precious metals bulls have been boosted this week. Gold prices traded lower on Friday finishing the week with marginally up. Gold Feb future gained by 1.99% while Silver rose 6.55% to Rs. 67907 per kg. Bullion prices extended gains awaiting key comments from US Fed while rising hopes for US stimulus pressured dollar index which boosted buying in precious metals.

In Energy Commodities Crude oil , Natural Gas ended the week with positively. Natural Gas ended the week up 3.34% at Rs. 197.8 per mmBtu while Crude oil Dec Future gained by 4.97% to Rs. 3610 per barrel. Oil climbed and touched a nine-month high on Thursday, with traders optimistic about progress toward a U.S. fiscal stimulus deal and strong Asian demand. Record-breaking refining demand in China and India lent further strength to the market.

Base Metals commodities have shown positive sign and reacted positively except Lead. Among Base Metals Copper futures gained by 2.53%, Zinc up by 2.98% and Aluminium up 0.36% .Lead Dec future ended the week negatively, lose by 0.06%.

Agri commodities performed well where Mentha oil future gained above 4% and CPO up by 3.00% and Cotton up by 2.54% respectively.