Zinc market under long liquidation; Support seen at 186.4
MCX Copper may trade between 410.6-423.8 levels
Natural Gas market under short covering; Support seen at 216.2
Crude Oil market under fresh buying; Support seen at 3733
Silver market under fresh selling; Support seen at 38768
Gold on MCX settled down 0.4% at 32013 due to firmer dollar, but investors keeping watch over the impact of the partial shutdown of the U.S. government and ongoing U.S.-China trade dispute.
The greenback held on to a modest gain after data revealed that the weekly number of Americans applying for unemployment benefits fell below 200,000 for the first time since 1969.
The U.S. economy could register zero growth in the first three months of 2019 if the partial government shutdown lasts the whole quarter. European Central Bank President Mario Draghi acknowledged that risks to euro zone growth had shifted to the downside due to po
The region’s economy is already suffering its biggest slowdown in half a decade, raising questions over whether the ECB will be able to increase interest rates for the first time in a decade later this year as its current guidance indicates.
It left that guidance and interest rates unchanged at its meeting but Draghi’s comment will fuel market speculation that the bank will end up delaying a tightening in policy or even move to cut borrowing costs.
Key economic concerns have given gold a solid foundation despite a firmer dollar, which makes the yellow metal more expensive for holders of other currencies.
Gold prices have gained over 10 percent since touching 1-1/2-year lows in mid-August, mainly because of dampened risk sentiment amid fears of a global slowdown, expectations of a pause in U.S. interest rate hikes, and more recently, the prolonged U.S. government shutdown.
Trading Ideas:
–Gold trading range for the day is 31878-32218.
–Gold dropped due to firmer dollar, but investors keeping watch over the impact of the partial shutdown of the U.S. government and ongoing U.S.-China trade dispute.
–ECB President Draghi acknowledged that risks to euro zone growth had shifted to the downside due to possible fall-out from factors ranging from China’s slowdown to Brexit.
–U.S. Commerce Secretary Wilbur Ross said the United States and China were “miles and miles” from resolving their trade dispute.
Courtesy: Kedia Commodities
Source: Commodityonline.com
