Mr. Tapan Patel, Senior Analyst - Commodities, HDFC Securities.
Gold prices traded firm with spot gold prices at COMEX were trading near $1734 per ounce on Tuesday. Gold Aug future contract at MCX was marginal up near Rs. 50720 per 10 grams by noon session.
Gold prices traded firm capping upside as the dollar index hit fresh 20 years high, was trading above 108 on Tuesday. The market players are awaiting US inflation data on Wednesday raising speculative bets for the precious metals. We expect gold prices to trade sideways to down for the day with COMEX spot gold support at $1720 and resistance at $1750 per ounce. MCX Gold Aug support lies at Rs. 50300 and resistance at Rs. 50900 per 10 grams.
Crude Oil prices traded lower with benchmark NYMEX WTI crude oil prices fell by 2.50% to $101.50 per barrel. Crude oil prices traded down as fresh COVID-19 curbs in China, the world's biggest crude importer, and fears of a global economic slowdown weighed on the fuel demand outlook. Multiple Chinese cities are adopting fresh COVID-19 curbs, from business halts to lockdowns, to rein in new infections as the highly infectious BA.5.2.1 subvariant has been detected in the country. We expect crude oil prices to trade sideways to down with resistance at $105 per barrel with support at $98 per barrel. MCX Crude oil July contract has important support at Rs. 7950 and resistance at Rs. 8170 per barrel.