SMC Commodity Research Outlook 19 November 2013 (By Sandeep Joon Sr. Research Analyst) Bullion counter is expected to remain sideways with weak bias tracking subdued international markets. Gold can move in range of 29800-30200 while silver can trade in range of 44500-45800. Stronger local currency rupee is also capping the upside in the bullions counter. Gold fell as investors weighed comments from Fed policy makers about the outlook for stimulus amid a rally in equities that’s cut demand for the metal as an alternative investment. Federal Reserve Bank of Philadelphia President Charles Plosser said yesterday the Fed needs to set a final size for the program and “bring it to an end” after reaching that amount. Janet Yellen, the nominee to replace Ben S. Bernanke as chairman, signaled on Nov. 14 that she would continue the program until the U.S. economy is stronger. Base metals counter can move in range amid mixed fundamentals. Copper may trade in range of 430-438 while aluminum may trade in range of 107-110 in MCX. Copper futures fell for the first time in three sessions on signs that the U.S. housing recovery may be slowing, fueling speculation that demand will ebb for the metal used in pipes and wiring. Confidence among U.S. homebuilders in November stayed at a four-month low. Crude oil counter may gyrate lower and can slip below 5650 while natural gas may move in range of 225-230. West Texas Intermediate oil swung between gains and losses near a five-month low as investors weighed the prospect that the U.S. will taper economic stimulus.
Posted on: Tue, 19 Nov 2013 04:05:16 +0000