Mr. Tapan Patel, Senior Analyst (Commodities), HDFC Securities.
Crude oil prices traded flat with benchmark NYMEX WTI crude oil prices were trading near $71 per barrel for the day. MCX Crude oil January futures were trading 0.70% down near Rs. 5380 per barrel by noon session.
Crude oil prices traded mixed on lower US inventory data and China demand optimism. The US API showed a draw of 3.67 million barrels for the week ended Dec. 17. China's National Development and Reform Commission assured to aid economic growth, including stepping up government spending, strengthening support to manufacturers, and stabilizing industry supply chains. Crude oil prices are expected to trade sideways to down with resistance at $73 and support at $69 per barrel. MCX Crude oil January has support at Rs. 5320, resistance at Rs. 5450.
Gold prices traded weak with COMEX spot gold prices were trading near $1786 per ounce on Wednesday. Gold February future contract at MCX were trading marginal down near Rs. 48000 per 10 grams by noon session.
Gold prices traded weak with recovery in global equity indices and rise in US bond yields. The dollar index was trading with marginal gains capping upside in gold. The Christmas holiday week has kept volumes muted with lack of fresh triggers. We expect gold prices to trade sideways to down for the day with COMEX spot gold support at $1780 and resistance at $1800 per ounce. MCX Gold February support lies at Rs. 47800 and resistance at Rs. 48300 per 10 gram.