Bullions and Base Metals Outlook
Source: Myiris (6/13/11)
"While gold looks steady, copper comes under pressure this week."
Commenting on the outlook for bullions, base metals and energy segment, brokerage house SMC Global said the following:
Bullions may open on negative note. Spot gold was steady on Monday, after slipping almost 1% in the previous session. A mixed dollar was down versus the euro, up versus a currency basket and a holiday in Australia was expected to make for fitful trade. Bullion came under pressure after Wall Street resumed its slide following weaker Chinese trade data last week. More data is scheduled to be released from the world's top gold producer, including inflation where the market expects a small rise to 5.4% in consumer prices.
Base metals may continue last week's losses due to strong dollar index and weak import data from China. Output at Chile's El Teniente mine, the world's number five copper deposit, remained well below capacity on Sunday as staffing was limited by renewed violence from striking contractors. Copper prices can test 390 levels in near term while lead can test 113 to 112 levels in MCX. Codelco and unions pulled most staff workers off the job over a week ago after protesters threw rocks at buses carrying workers to the world's biggest underground copper mine.