Here is a summary of a commodity market report by SMC Research.
Base metals: Base metals are expected to trade choppy today. Earthquake in Chile has impacted the supply of copper to some extent. Mine production has been halted in the copper-rich nation as Chile copes with a wave of aftershocks. Although most of Chile`s production comes from the North, and the quake hit the Central part of the country, the damage to the highways will suspend business as usual .Copper may trade in range of Rs 332-340.While lead and zinc may trade in range of Rs 98-102 in near term.
Bullions: Bullions are expected to show range bound movement in near term. Gold slipped in slow trade on Tuesday as uncertainties over a bailout package for debt-stricken Greece looked likely to undermine the euro. In the physical market, sales of gold scrap picked up in Southeast Asia due to recent gains in bullion prices, while India was on the sidelines despite the approaching wedding season. The world`s largest gold-backed exchange-traded fund, SPDR Gold Trust, said its holdings stood at 1,106.987 ton by March 1, unchanged from the previous business day.
Energy: Crude oil prices may remain sideways due to mixed movement in NYMEX. Crude futures Tuesday were little changed and above USD 78 as prices remained sandwiched between a strong dollar and expectations of a recovery in oil demand while the market awaits API U.S. oil stocks data due later today. Crude oil inventories are expected to rise by 700,000 barrels while gasoline stocks are expected to increase by 600,000 barrels.
