Commodity outlook: Gold has key support at Rs 31,200-31,100 levels

Gold prices on MCX traded steady on Wednesday as political turmoil in Italy and fresh trade tensions between the US and China offset strength in dollar.

In base metals, copper fell to a three-week.

Oil futures climbed, supported by tight supplies despite expectations that Opec and its allies will pump more crude in the second half.

Here’s a wrap-up of the commodities in the domestic market today.

Gold: MCX gold (August) has a key support at Rs 31,200-31,100 levels. Motilal Oswal Securties believes a pullback is expected as long as it holds these levels, while the upside is capped at around Rs 31,500-31,600 levels.

Crude oil: The commodity is expected to trade in a tight range of Rs 4,460-4,580 on the MCX. The brokerage expects sideways consolidation.

Natural Gas: It remained bearish below Rs 203 level. MOSL advises that immediate is at Rs 198.50 while support is at Rs 194 level.