Crude oil futures on the Multi Commodity Exchange continued to rule weak on the week ended on Friday on continued selling pressure in the domestic market following weak sentiment in the global markets as sharp fall in non-farm payrolls in June raised concerns and boosted rally in dollar. The US labor department said employers cut 4.67 lakh jobs in the last week of June.
Similarly, silver futures fell further last week on lack of follow-up support from market players and prices fell nearly 5%. Gold futures remained steady on Friday on stray buying support.
MCX Crude oil July 2009 futures were Rs 231 to trade lower at Rs 3,214 per barrel on Friday. WTI crude oil spot price was quoted lower at $66.47 per barrel while brent crude oil for August settlement fell to $65.86 a barrel on London’s ICE Futures Europe exchange. Crude declined as dollar climbed against the euro, limiting futures purchases as an alternative investment.
MCX gold August 2009 contracts were traded steady at Rs 14,471 per 10 gram on Friday. Spot gold was at $933. Gold prices may gain as rising unemployment in the US increases concern that the global recession will continue, boosting demand for the metal as an alternative investment.
MCX silver July 2009 contracts were down Rs 1,162 to trade at Rs 21,408 per kg on Friday. Silver was traded lower at $13.45 an ounce. “Silver prices trapped under its 50-day moving average might mean that it will fall to its 200 DMA. More likely, seems to me a drop to $13.00, may be $13.50,” an analyst said.
MCX copper August 2009 contracts were traded lower at Rs 242.45 per kg on Friday, down by 1.4% over the previous week on reports of rising inventories levels. Copper inventories in warehouses monitored by the LME rose to 2.68 lakh tonne.