MCX Bullion News Update

Gold prices-Gold held steady on Tuesday as lingering caution in the aftermath of the Paris attacks offset the impact of a firmer U.S. dollar, which rose on prospects of a December rate rise. The dollar rose sharply on Monday, as markets were unshaken by the weekend attacks in Paris, and investors continue to expect an interest rate hike from the Federal Reserve. Euro zone inflation was revised up to 0.1 percent in October, the EU's statistics agency said on Monday, pushed into positive territory by price increases for fruit and vegetables.

MCX Copper Tips-LME copper started at USD 4,795/mt overnight and dived to USD 4,685/mt during European and US trading hours with a loss of USD 106.5/mt or 2.2%. Trading volumes surged 186,000 lots. LME copper will move in USD 4,680-4,730/mt during Asian trading hours. Base metals prices are expected to remain weak due to market reticence. US October CPI is not promising. Retail sales in October also fell short of market expectations. This should weigh on the US dollar, but any boost to base metals prices will be limited. ZEW November economy climate index for Germany is expected to improve but will remain weak as a whole.

Crude oil prices-Oil prices turned away from slight gains on Tuesday as the risk premium following the Paris attacks and the French airstrikes in Syria faded and traders began to focus on the global oversupply in petroleum products again. Analysts said that despite the Paris attacks and resulting French airstrikes in Syria, prices would remain low for the rest of the year and into 2016 as oil markets stay oversupplied, with most estimates for 2015 ranging from production outpacing demand by 0.7-2.5 million barrels per day. Many speculators are even positioning themselves for further price falls.