COMMODITY MARKET: GOLD PRICE TRADES ABOVE RS 48,000 SNAPPING A FALLING SPREE

Commodity prices soared on Tuesday, tracking cues from a strong global trend as the commodity prices continued its winning streak from Monday with most of the commodities in the non-agro segment reported gains of over 1 per cent in the previous session. Currently, CPO stood as top the gainer while Natural Gas was only loser in end of morning session.

Commodities Buzz:

Bullion prices gained on weaker dollar over stimulus hopes. Gold prices traded higher for the third day after announcement of the Union Budget. Currently, Gold April futures were up by 0.57% to Rs 48110 per 10 grams while the silver March futures rose by 0.68 to Rs 70560 per kg. MCXBULLDEX Feb delivery was 0.55 % up at Rs. 15297 unit. Bullion prices continued upside move on US stimulus hopes after US democrats released first draft of key legislation including Biden’s covid relief bill.

Crude oil prices was traded near 13 month highs. Crude oil prices trading up by 0.28% at Rs. 4243 per barrel on Tuesday. Prices were boosted by lower supply concerns from major oil producers and demand recovery from stimulus hopes. The additional supply cuts from Saudi Arabia till March has achieved some of the target of the balancing oil market. Natural gas futures dropped by 2.04% to Rs 206.30 per mmBtu.

Base metals complex traded positive with most of the metals witnessed buying on Tuesday with Zinc and Nickel gaining the most. Base metals prices gained on weaker dollar and stimulus hopes along with lower supply from China on Lunar day holidays. Copper prices gained as future contracts entered into backwardation on supply crunch. Zinc, Nickel, Aluminium, Copper and Lead were trading up by 1.14%, 1.03%, 0.70%, 0.70% and 0.15% respectively. MCXMELTDEX Feb delivery was 0.75 % up at Rs. 13914 unit.

Under Agri index, CPO gained by 1.30% to Rs. 1014 per 10 kg and Cotton Feb future was trading higher by 0.56% at Rs. 21480 per bales. Mentha oil was also trading in green.