Commodity Market Report (for August 25 to 30) by Mr. Vivek Gupta – Director Research, CapitalVia Global Research Limited
U.S. and Brent crude futures traded in range on Friday, lifted by supportive economic data from the United States after a plentiful supply picture and Chinese economic data had earlier pressured prices. Sales of existing U.S. homes rose to a 10-month high in July and the number of initial jobless claims fell last week, signaling third-quarter strength in the economy. We expect crude oil prices to trade on positive note on the back of stronger than expected US economic data and hopes of improving demand for oil. For the coming week 5600/5350 will act as major supports levels whereas 6080/6200 will act as major resistance in MCX Crude oil September futures. For the next week, trader can use buy on lower level strategy, if MCX Crude September future sustain above 5750 levels then it could test the levels 5850/6000.