Base metals in upward trend, precious metals remains range-bound

摘要

During the week, gold and silver prices remained range-bound to settle at 952.45 and 14.04 as compared to previous week ended levels of 944.88 and 14.52 respectively. The White House has projected that the US fiscal deficit will rise to over $10 trillion in the next decade. There could be increased pressure on the borrowing requirement of the US government. This could push US long-term yields higher which would be negative for precious metal complex. All the base metals exhibited returns in the range of 2 to 14 per cent barring aluminium which posted negative returns of -1.34 per cent. . Better than expected German IFO business confidence numbers have also lent support to the base metals. Besides, announcement of US Durable Goods Orders and new homes sales figures for July 2009 had an impact on entire base metal complex.