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  1. MCX Gold marginally higher amid broad based rise in commodities

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MCX Gold marginally higher amid broad based rise in commodities

Upstox

2 min read | Updated on August 21, 2024, 18:43 IST

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SUMMARY

Prices of gold futures on the MCX were trading marginally higher after giving up some of early gains even as all commodities traded in the green.

MCX Gold marginally higher amid broad-based rise in commodities

MCX Gold marginally higher amid broad-based rise in commodities

Precious metals

Gold futures expiring October 4 were trading 0.1% higher at ₹71,845 per 10 grams while silver rose 0.4% to ₹85,107 per kg.

The price of the yellow metal traded higher tracking strength in international spot gold price, which rose above $2,500 per ounce for the first time ever earlier this week but consolidated as traders awaited minutes of a recent Fed rate panel meeting.

Silver rose more than gold in percentage terms on strong technical cues as some traders hoped it may have more room to run given it is trading significantly below record highs, should the broad bull market in precious metals continue.

Base metals

Among base metals, copper was up 0.7% while zinc rose 1.1%. Both metals were buoyed by hopes that demand is returning in top consumer China where physical stock in warehouses monitored by Shanghai Futures Exchange fell to multi-month lows.

Aluminium futures were up a modest 0.2%.

Energy

On the energy front, crude oil futures gave up early gains to trade flat while natural gas was up 1.2%. Oil traders have weighed multiple data points amid a broad-based decline in oil recently: with China demand outlook being weak, and peace talks in the Middle East gaining momentum.

Natural gas, however, pulled higher as weakening production supported prices and as NYMEX futures traded above the key 20-day moving average mark.

Economic calendar

Oil traders will watch the release of the latest gasoline inventories data expected in the US today while the Federal Open Market Committee (FOMC) will also release minutes of its recent rate-setting meeting.

On Friday, Federal Reserve Chairman Jerome Powell will give a speech at the conclusion of the three-day Jackson Hole symposium, which traders will parse for cues on the economy and interest rates and their impact on bonds, stocks and commodities.

SIP
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Upstox
Upstox News Desk is a team of journalists who passionately cover stock markets, economy, commodities, latest business trends, and personal finance.