Pick of the day:
MCX Copper (April): Sell- Rs 412, stoploss- Rs 415, target- Rs 407.
MCX Silver (May): Sell- Rs 53300, stoploss- Rs 53650, target- Rs 52700
Gold prices ended marginally lower, as improving macroeconomic tone in US led to investor’s preference for riskier assets. As a result, we witnessed strengthening in US equities and energy prices. However, gold prices have done well to hold around USUSD1600/ounce and are trading moderately higher today. Uncertainty over the implications of a severe haircut on the bank deposits in Cyprus is keeping the safe haven appeal for the yellow metal intact. In this respect, Cypriot central bank has confirmed that major depositors in Cyprus's biggest bank will lose around 60percent of savings over 100,000 euros.
LME base metals traded on a pessimistic note, with copper prices struggling around USD7,500/ton. The short term outlook for the red metal looks gloomy, with rising LME and Shanghai inventories, coupled with sluggish spot physical premiums. LME warehouse stocks are up by literally 80percent during this year and SHFE inventories are at 10 year high.
WTI Crude oil futures traded steady, deriving strength from improving macroeconomic landscape in the world's top oil consuming nation. Strong US retail sales, improving labour markets, bottoming housing sector and improving consumer confidence has overshadowed subdued Chinese and European macroeconomic numbers. In addition, escalating belligerence between North Korea and South Korea has aggravated the geopolitical tensions, which has also lifted the energy prices.
No comments:
Post a Comment