Gold and Crude Oil - Feb 24, 2022 - HDFC Securities
2022-02-24 16:59:34 (Time Zone: IST)
Mr. Tapan Patel, Senior Analyst (Commodities), HDFC Securities
Gold prices traded higher with COMEX spot gold prices were trading 1.80% up near $1942 per ounce on Thursday. Gold April future contract at MCX were trading 2.40% up near Rs. 51590 per 10 grams by noon session supported by rupee depreciation.
Gold prices rallied on safe-haven buying along with the dollar on geopolitical risk fearing severe sanctions on Russia and possible disruption of supplies of commodities. The risk-off investment sentiment may continue to support gold prices with rising market expectations that FED may slow down the pace of rate hike. We expect gold prices to trade up for the day with COMEX spot gold support at $1920 and resistance at $1970 per ounce. MCX Gold April support lies at Rs. 51200 and resistance at Rs. 52200 per 10 gram.
Crude oil prices traded higher with benchmark NYMEX WTI crude oil surged by more than 6% to $97.80 per barrel on Thursday. Crude Oil prices rose sharply on geopolitical concerns after Russia moved troops into Ukraine, sparking concerns that a war in Europe could disrupt global energy supplies. Russian President Vladimir Putin authorised a military operation in eastern Ukraine on Thursday over Russia's demands for an end to NATO's eastward expansion. We expect crude oil prices to trade up with resistance at $102 per barrel with support at $94 per barrel. MCX Crude oil March contract has important support at Rs. 7120 and resistance at Rs. 7500 per barrel.