GOLD : Gold prices today recovered by Rs 125 to Rs 18,600 per 10 gram in Delhi’s spot market on the back of a firming trend in the global markets. August gold futures were steady in the range of Rs 18,325-18,399.
At 5:15 pm they traded at Rs 18,371 per 10 gm. Gold price in global markets, which usually sets the trend at the domestic level, rose to $1195.70 an ounce at 1117 GMT. Gold firmed in Europe today after a weak Portuguese debt auction raised concerns over the fragility of the euro zone banking sector, knocking the euro, but gains were limited by softer investment demand.
A 6.1-tonne fall in holdings of the world's largest gold-backed exchange-traded fund, the SPDR Gold Trust, on Tuesday, their biggest one-day decline since December, indicated the waning investor confidence in the metal, analysts said. Gold is expected to move up later in the day, taking international cues.
SILVER : Silver also gained Rs 80 to Rs 28,980 per kg on increased industrial offtake. Silver futures prices, in agreement with the broad firming trend, gained max to Rs 179 and made high of Rs 28,839 per kg. At 05:20 pm, it traded at 28,779. Comex silver remained range bound in the last trading session.
Silver prices were supported by gold's movement, but gains were capped by the weak data released from across the globe. There was weak US housing data which is pointing towards slow recovery of economy. At COMEX it ended marginally in the green at $17.70. Spot silver touched 17.83 per ounce in today’s trading sessions.
COPPER : Copper made 3-week high in international market today as strong physical and Chinese buying coupled with falling inventories boosted prices, but gains were capped by the uncertain outlook for economic growth.
By 1133 GMT, copper for 3-month delivery on the LME traded at $6,795 a tonne from $6,637 at the close on Tuesday and compared with a session high at $6,830. On the other hand, global copper market recorded a surplus of 73,000 tonnes from January to May 2010, versus a deficit of 56,200 tonnes in the same period last year, the World Bureau of Metal Statistics (WBMS) said today.
But buying is strong from the stockists’ side, so it won’t put pressure on the copper prices to go southwards. India copper futures are 25 up near their today’s high and going to hit its 3-week high tracking overseas leads where in August contract made high of Rs 321.20 per kg. "Buying copper on correction is recommended at 316, for short-term target of 326/340," said Pranav Mer, senior analyst with Mangal Keshav Commodities.
OTHER METALS : At LME zinc traded at near two week highs at $1,895 a tonne from $1,875. India Zinc July futures was trading 1.61 percent higher at Rs 88.45 per kg. “Zinc may see an upside of 90 levels", said Pranav Mer. Battery material lead was at near two month highs at $1,865 from $1,837, while lead for July delivery on MCX was trading 1.87 percent higher at Rs 87.15 per kg.
"Lead is looking positive at 90/91, buy on correction to Rs 86," said Mer. China also gave estimates for lead supply, that’s its deficit for the first time, Reuters reported. Steel-making ingredient nickel traded at three month highs at $19,340 from $19,125 at LME during today trading sessions, "Nickel for July delivery was trading 1.24 percent higher at Rs 913.10 per kg. Nickel may trade in the range of Rs 900-930”, said Mer.
