Commodity markets on the Multi Commodity Exchange (MCX) opened mixed on Wednesday, March 4, following sharp volatility earlier in the week driven by global geopolitical tensions and profit booking after recent rallies.
Precious metals rebound
Gold and silver opened higher as investors returned to safe-haven assets after recent declines.
Silver was trading at Rs 2,67,300 per kg, up Rs 1,982 or 0.75%, showing a mild recovery after the sharp correction seen in the previous session. Bargain hunting and continued geopolitical uncertainty supported prices.
Gold futures (GOLD1) were quoted at Rs 1,62,758 per 10 grams, rising Rs 1,650 or 1.02%. The rebound comes after profit booking in the previous session, with geopolitical risks continuing to underpin demand for safe-haven assets.
Base metals steady
Base metals saw modest gains in early trade.
Copper was trading at Rs 1,209.50, up Rs 6.80 or 0.57%, tracking a slight recovery in global prices. Zinc futures remained largely stable at Rs 327.45, up Rs 0.50 or 0.15%, reflecting subdued movement in global base metal markets.
Energy commodities pull back
Energy contracts showed mild weakness after strong gains earlier in the week.
Crude oil futures were trading at Rs 6,937 per barrel, down Rs 33 or 0.47%, as traders booked profits following the sharp rally triggered by supply disruption fears linked to the Middle East conflict.
Natural gas saw the steepest decline among major commodities, trading at Rs 281.3 per MMBtu, down Rs 7.2 or 2.50% amid global demand concerns and easing prices in international gas benchmarks.
Market context
The mixed opening follows extreme volatility in global commodity markets as the ongoing geopolitical situation has pushed energy prices higher while also driving periodic safe-haven demand for precious metals.
At the same time, a stronger US dollar and shifting interest rate expectations continue to influence commodity pricing globally, keeping markets volatile across metals and energy contracts.
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