In yesterday’s trading session, Bank Nifty lost 1.07%, with PSU and Private Banks losing 1.32% and 0.98% respectively.
We expect intraday range could be 34,412 to 35,204 with sideways momentum & broader range could be expected between 34,109 to 35,498 zone for this week.
In the previous week, base metals witnessed a
mix weekly session, where, Aluminum (-1.2%), Iron Ore (-2.5%) and Lead (-4.4%)
closed in red for the second consecutive week, while Copper (+0.5%) and Zinc
(+1.4%) managed to closed in green, recovering the losses of the week before.
Precious metals gold and silver rose by 0.5% each during the week, snapping its
loss streak.
International WTI Crude oil prices increased
during the previous week, after the release of US crude inventories, which
indicated a steep fall in the inventories. However, the gains in the prices was
limited due to an optimistic forecast for global economic recovery. OPEC is not
expected to increase the crude oil supply in next one month, which may result a
further rise in the crude prices. The traders needs to keep an eye on the crude
oil inventories data, which will be released on 17th March.
Gold and silver gained marginally during the
previous week, witnessing a high volatility. Gold touched the lows of $1,677.8
and high of $1,739.4 during the week. The precious metals were marginally
higher as the passage of a US stimulus bill raised concerns over inflation
risks. However, higher US bond yields, which remained near their highest in
more than a year, capped the precious metals’ gains.
For the current week, we expect the gold and
silver prices to continue its uptrend, as a strong sell-off in the equity
markets might encourage the investors to incline towards safe haven asset
classes like precious metals. Investors also need to keep an eye on some
important global economic data such as US’ Core Retail Sales, Industrial
Production, FOMC Statement, UK’s monetary policy, and ECB President Lagarde’s
speech.
For the week, we expect gold in COMEX market to be in the range of $1,627 to $1,792, while silver is expected to be in the range of $24.9 to $26.9. Whereas, for bullion market traders, we assume gold mini futures to trade in the range of 43,768 – 42,239 to 45,216 – 45,983.
