Gold prices traded weak with spot gold prices at COMEX were trading near $1837 per ounce on Tuesday. Gold Aug future contract at MCX were trading flat near Rs. 50739 per 10 grams by noon session.
Gold prices have kept steady trading range on mixed global cues over FED rate hike and dollar movement. Gold prices capped upside with recovery in global equity indices despite of weaker dollar. The dollar index was 0.37% down on Tuesday at 103.88 capping downside in the yellow metal. We expect gold prices to trade sideways to down for the day with COMEX spot gold support at $1820 and resistance at $1850 per ounce. MCX Gold Aug support lies at Rs. 50500 and resistance at Rs. 51000 per 10 gram.
Crude Oil prices traded higher with benchmark NYMEX WTI crude oil prices rose by 2.40% near $110.55 per barrel. Crude oil prices edged higher clawing back more of last week's losses as the focus returned to tight supply of crude and fuel products versus concerns about a recession hitting demand down the track. Supply concerns are buoying the market, as Western sanctions on Russian oil bite and questions linger over how Russian output might fall due to sanctions on equipment needed for production. We expect crude oil prices to trade sideways to up with resistance at $113 per barrel with support at $108 per barrel. MCX Crude oil July contract has important support at Rs. 8510 and resistance at Rs. 8740 per barrel.