Gold and Crude Oil - March 29, 2023 - HDFC Securities

By Mr. Saumil Gandhi, Senior Analyst - Commodities, HDFC Securities.

Gold prices traded lower on Wednesday, with spot gold prices at Comex were trading down by 0.50% at $1964.0 per ounce. Gold April future contract at MCX were trading down by 0.23% at Rs 58905 per 10 grams by noon session.

Gold prices broadly consolidated in range with negative bias from last few sessions as a risk on market environment amid ebbing global banking sector fears. While US bond yields climbed up second consecutive days after the Federal Reserve's head of banking supervision said in a testimony that the U.S. banking system was resilient. Further uptick in US bond yields could limit the gain in gold prices. We expect rangebound trend will continue in gold prices as traders wait for fresh cues for further direction in yellow metal. Comex spot gold having support at $ 1935 per ounce and resistance at $1995 per ounce. MCX Gold Apr future having support at Rs 58410 per 10 gram and resistance at Rs 59300 per 10 grams.

Crude Oil prices edged higher on Wednesday with benchmark NYMEX WTI crude oil were trading up by 0.60% at $73.60 per barrel. Crude Oil short term trend turn positive as market worried about short-term supply concern after the halt of crude oil exports from the Kurdistan region. Further gain was extended after an industry report signaled a big draw in US crude stockpiles. U.S. crude oil and gasoline inventories fell last week, while distillate stockpiles rose, according to API released on Tuesday. Traders now focus on today's EIA weekly report.

We expect Crude oil price can rally further and bullish momentum will likely to continue for the day. NYMEX WTI Crude oil prices face resistance at $75.40 per barrel and support at $71.95per barrel for the day. MCX Crude Oil April future having supports at Rs 6200 and resistance at Rs 5940 for the day.

Source : Equity Bulls

Keywords

Gold CrudeOil Commodities HDFCSecurities