MUMBAI (CommodityOnline):Precious, base metals and crude oil prices in the evening session are expected to trade with an upward bias due to weakness in the DX. Weakness in the DX is on hopes of recovery in the Euro region thereby curtailing debt concerns of the region. Positive global market sentiments has resulted in rise in the risk appetite thereby reducing the demand for the low yielding currency that is DX and hence providing support to the dollar denominated commodities.
Spot gold prices gained 0.4% due to rise in the risk appetite amongst the global maket participants and weakness in the DX. Improved buying by the physical buyers supported an upside in the gold prices. However, appreciation in the rupee caused MCX Gold prices to trade in the red. Prices are currently trading around Rs.30,746 per 10 gms.
Tracing strength in the spot gold prices, international silver prices also gained and are trading 0.9% higher till 4:30p.m today. Weakness in the DX along with strength in the base metals pack added to the gains in silver prices.
MCX silver prices are trading 0.3% higher taking cues from the spot silver prices. Appreciation in rupee capped gains in the silver prices on MCX.
Base metals prices are trading higher on reports of favorable economic data from the China along with weakness in the DX. Hopes of growth in the European region is also supporting an upside in the base metals pack. However, rise in the LME inventories in most of the metals restricted sharp rise in the base metals pack.
In the domestic market, appreciation in the rupee exerted downside pressure on the base metal prices on MCX. Copper prices are trading 0.6% higher till 4:30p.m today. Hopes of rise in the GDP of China and thereby increased demand for the red metal led prices of copper to trade upwards. Additonally, weakness in the DX added to the gains in the copper prices. Unfavroable data from the Euro region however, capped gains in the copper prices along with rise in the copper inventores today.
In the domestic market Copper prices are trading 0.1% lower due to appreciation in the rupee.
Crude oil prices are trading 0.7% up due to positive global market sentiments along with weakness in the DX. Hopes of rise in the demand from the key consuming nation is also pushing the prices upwards.
In the domestic markets, crude oil prices is trading on a flat note as rise in the international prices is supporting an upside while appreciation in the rupee is exerting downside pressure on the MCX crude oil prices.