MCX precious metal futures trade higher, crude oil slips nearly 1%

MCX gold and silver futures inched higher on Tuesday while crude oil futures were trading lower. Mixed data from China along with the upcoming inflation data from the US has kept the markets on edge. Markets will be eagerly tracking any developments as fears of an economic slowdown persist while bets for rate cuts rise.

Precious metals

Gold futures on the MCX saw gains of 0.15% and were trading at ₹71,735 per 10 grams. Gold prices have remained in a range due to a lack of positive ques to push the prices upwards.

Meanwhile, silver futures on the MCX saw gains of 0.35% and were trading at ₹83,940 per kg. The metal had hit an intraday high of ₹84,150 and was off its day’s low of ₹83,451.

Base metals

Despite opening higher, copper futures failed to sustain at higher levels and were trading lower by 0.13% at ₹789.80. Meanwhile, zinc futures were down by 0.7% to trade at ₹253.75. Lead futures remained weak and were trading lower by 0.30% at ₹180.95.

Crude oil and natural gas

MCX crude oil futures on Tuesday slipped nearly 1% and were trading at ₹5,721 per barrel. As geopolitical tensions eased, increased supply from OPEC+ and lacklustre demand from China have caused the commodity to trend downwards. Crude oil futures on the MCX are close to their 52-week low of ₹5,657.

Natural gas futures on the MCX tanked over 4% on Monday but staged a recover on Tuesday as it was trading slightly higher with gains of 0.05% at ₹182.7.

Economic data

Data on Monday indicated growth in China’s exports as they picked up pace to their fastest growth since March 2023. However, weak inflation figures underlined the weakness in the Chinese economy.

Rate-cut expectations in the UK rose on the back of a softening labour market, while an economic slowdown and a decline in manufacturing activity in the US have raised concerns.

Going ahead, traders and investors will be looking forward to important inflation data from the US, which will give more insights about the Fed’s future plans.