Gold remained strained and hovered around $910 an ounce. Investors will now be looking toward U.S. economic data including a key monthly jobs report later this week to gauge the health of the world's biggest economy, which could offer fresh support for gold if it stokes doubt over the global economy. Some will also be watching the monthly private U.S. payroll survey from ADP Employer Services later in the day, which serves as a forerunner to Friday's U.S. non-farm payrolls report. MCX gold however, fell by around 200 rupees as the USDINR deprecited by around 40 paisa to a dollar thus puting pressure on the prices. These days the movement in USDINR is basically driving the MCX prices.
Crude Oil rallied above $43 a barrel as OPEC meets in Vienna on March 15 and needs to decide if it will further cut production or wait to see the impact of reductions in output that it has already implemented. The 12-member producer group has already promised to reduce oil output by 4.2 million barrels per day (bpd) from production levels in September and a Reuters survey suggests OPEC members have already met at least 81 percent of their promised cuts. The U.S. Energy Information Administration will release its inventory report for last week later on Wednesday and crude oil supplies were forecast to have risen 1.2 million barrels, according to a Reuter’s poll.
Base metal prices stayed buoyant after a strong session in Asia on hopes for a rebound in Chinese demand, with a firmer tone to equities also supporting prices. Declines in inventories of copper in warehouses monitored by the LME and signs of more withdrawals have helped hold up copper. China will boost spending in areas including infrastructure and manufacturing on top of the 4 trillion yuan stimulus package unveiled in November, and CIC, China's $200 billion sovereign wealth fund, said it saw investment opportunities in the natural resources sector given the steep decline in prices. Zinc gained to $1,182 a tonne, aluminum added to $1,346 a tonne and lead rose to $1,130 a tonne and nickel climbed $1to $9,900 a tonne.
