Gold & Silver overview:
Gold prices rose on Thursday, buoyed by renewed safe haven demand after U.S. President Donald Trump imposed 25% trade tariffs on all automobile imports, marking an escalation in his tariff agenda. Trump’s tariffs- which will be imposed starting from April 3 along with a host of other duties, sparked a risk-off move across global markets, with Wall Street and Asian stocks clocking deep losses. This drove safe haven plays into gold, amid growing fears that Trump will make good on his other tariff threats.
The US Gross Domestic Product (GDP) growth rate has slowed, according to the latest economic data. The actual GDP growth rate came in at 2.4%. This figure is slightly higher than the forecasted growth rate of 2.3%, but it is significantly lower than the previous growth rate of 3.1%. This indicates a slowdown in the US economy, which could have implications for the nation’s financial health and the strength of the US dollar.
Technical levels:
GOLD : Technically, day trend may remain upside in gold today. It has resistance at 89000 and support at 87000.
SILVER : Technically, day trend may remain upside in silver today. It has support at 99000 and resistance at 103,000
Crude oil & Natural gas overview:
Crude prices have climbed to one-month highs on heightening geopolitical risks and supply concerns. Additionally, the latest U.S. “secondary tariffs” on buyers of Venezuelan oil could hit up to 0.5-0.7-mb/d of exports but can be much less. April could also bring renewed selling pressure as U.S. tariffs gain clarity, and OPEC+ begins ramping up output; US-Russia-Ukraine deal making continues apace. Meanwhile, US deal making on Iran and Venezuela could be another case of “escalate to de-escalate”, with supply risks reversing later, as the Trump administration remains focused on getting oil prices lower.
U.S. natural gas prices gained on Thursday despite warmer weather weighing on demand while traders continued to contemplate the potential for peace in Ukraine. Weather forecasts through March 30 suggest temperatures across the northern U.S. will range from the 30s to 60s degrees Fahrenheit, while the southern tier will see milder highs in the 50s to 80s. This indication of a warmer-than-average March is reinforcing the soft demand environment and weighing on fundamentals.
Technical levels:
CRUDE OIL: Technically, day trend may remain upside in crude oil today. It has support at 5900 and resistance at 6100.
NATURAL GAS: Technically, day trend may remain upside in natural gas today. It has support at 326 and resistance at 355.
Base metals overview:
US data on Thursday showed a decline in initial jobless claims last week, but the market reaction was relatively small. The US dollar fluctuated on Thursday as the market speculated on the severity of the tariff measures to be announced by US President Trump next week, with uncertainty still unsettling the market. On the supply side, domestic social inventory destocking paused this week. Although east China maintained destocking, it was mainly due to reduced inflows.
Technical levels:
COPPER: Copper after bounce at the start of the week yesterday eroded the gains and came near 900 level the support is at 890 and resistance at 915
ZINC: Zinc after a bounce yesterday made a strong bearish candle the resistance is at 280 and support at 270
ALUMINUM: Aluminum is currently in a strong sell off the support at 248 and resistance at 255
