Bullion counter may remain on strong note as gold prices inched up on Thursday as a dip in Asian equities and worries about a sharp global economic slowdown propelled demand for safer investments. Shares in Asia fell and U.S. stock futures dropped sharply after Apple Inc cut its revenue forecast for its latest quarter due in part to slowing growth in China, adding to concerns about a stuttering global economy. Gold can test 31800 taking support near 31350 in MCX and silver can move towards 39500. A meeting between U.S. congressional leaders and President Donald Trump on Wednesday yielded no sign of an agreement to end a partial government shutdown, now in its 12th day, as the president stuck to his demand for $5 billion in funding for a borderwall.
Base metals prices may witness some lower level buying .China’s economic growth could fall below 6.5 percent in the fourth quarter as companies face increased difficulties, a central bank magazine said on Wednesday. China’s factory activity contracted for the first time in 19 months in December as domestic and export orders weakened further, a private survey showed. The,Caixin/Markit Manufacturing Purchasing Managers’ Index for December fell to 49.7 from 50.2 in November, marking the first contraction since May 2017. Manufacturing is a key source of jobs in China’s economy. Copper can take key support near 403-405 range and can move towards 412.
Crude oil may witness profit booking at higher levels as oil prices fell on Thursday amid volatile currency and stock markets, and as analysts warned of an economic slowdown for 2019 just as crude supply is rising globally. The slowdown in China and turmoil in stock and currency markets is making investors nervous, including in oil markets. Crude oil can face stiff resistance near 3360 while it can take support near 3270. Oil markets have also come under pressure from a surge in supply. U.S. crude production stood at a record 11.7 million barrels per day (bpd) in late 2018, making the United States the world’s biggest oil producer.
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