COMMODITY MARKET: BASE METALS REMAIN WEAK, COPPER FUTURE DROPS BY 1.44%
Commodity prices traded weak due to rally in US treasury yields and stronger dollar. Commodity prices traded with cuts on Friday, continuing the trend from the previous session as bullion prices pared early gains while base metals traded lower on US inflation concerns on Thursday. Crude oil prices also plunged by 7% on lower demand expectations over rising pandemic worries. CPO, Lead were trading positive while Copper, Kapas, Crude oil, Silver, Cotton, Aluminium, Natural Gas, Zinc, Nickel, Mentha oil, Gold were trading negatively.
BULLION:
Bullion prices are trading under pressure adjusting to the US Fed comments on inflation and rising bond yields. Besides this, rising Covid worries across Europe and higher inflation concerns in the US may limit downside in precious metals.On MCX, gold Apr futures were down 0.11% to Rs. 44900 per 10 gram. Silver May future traded down by 0.76% at Rs. 67230 per kg. MCXBULLDEX future traded down by 0.24% at 14293.
ENERGY:
Energy index continued to move downside as both Natural Gas and Crude oil saw a negative trend.MCX Crude Oil March was trading down by 1.14 % at Rs. 4414 per barrel and touched a day’s low of 4322. Natural Gas Mar future was trading 0.39% down at Rs. 180.70 per mmBtu on weak global trend.
BASE METAL:
Base metals complex traded weak as most of the metals kept to lower trading range with copper falling the most. Base metals traded lower along with selling across commodities due looming demand outlook on higher inflation fears in US. Base metals are trading down with fall in equity indices and rise in US bond yields. The weak US data has also raised concerns over job market growth adding worries to the demand recovery. Copper was the top most loser with losses of 1.44% while Lead gained by 0.19% at Rs. 161.25 per kg.
AGRI
Under Agri commodities, CPO stood as only gainer while rest others were traded negatively. Kapas ,Cotton and Mentha oil were traded down by 1.17%, 0.68% and 0.18% respectively.
