COMMODITY MARKET: YELLOW METALS CONTINUE TO GAIN; SILVER JUMPS TO OVER RS.70000 PER KG

Commodity prices traded firm on Tuesday as bullion traded on an upbeat note after a mixed trading session. Crude oil was also traded higher in early morning session. On MCX, Natural Gas, Aluminium, Gold, Silver, CPO, Cotton were trading with gains. At the same time, Mentha oil, Lead, Crude oil, Copper, Zinc, and Nickel were trading lower in the end of morning session.

Commodities Buzz:

Bullion prices traded higher thanks to easing dollar mixed economic data from major economies and hopes of additional US stimulus is countered by higher bond yields, improvement in virus situation and continuing ETF outflow. On the MCX, gold future for April delivery was trading at Rs. 47405 per 10 gm, up 0.35 %. Silver Mar future was up in trade by as much as 0.27 % at Rs. 70321 per kg. MCXBULLDEX Feb delivery was 0.32 % up at Rs. 15129 unit.

In the international market, crude oil prices remain high. In fact, many areas of the US are experiencing heavy snowfall due to which oil wells and refineries have been closed in the state of Texas, America, the world's largest oil producing country. In addition, Yemen's group of Houthi rebels said that they had attacked airports in Saudi Arabia with drones. These two factors are playing an important role in increasing the price of crude oil. On MCX Crude oil Feb future delivery was down by 0.32% to Rs. 4355 per barrel. The Natural Gas Feb future was up by 2.19% at Rs. 223.70 per mmBtu. The freezing temperatures are creating a higher demand for natural gas.

Base metals complex traded lower with Lead Feb prices was trading lower by 0.35%.Copper , Zinc, Nickel down by 0.21%, 0.07% 0.05% respectively.MCXMELTDEX Feb delivery down 0.15% at Rs. 14275 unit.

Agri commodities were trading mixed. CPO Feb delivery gained by 0.26% to Rs. 1033 per 10 kg. Mentha oil was trading down by 1.29% at Rs. 952 per kg. Cotton Feb future was trading higher by 0.23% at Rs. 21490 per bales.