Bullion prices may trade sideways with positive bias this week on global uncertainties

Commodity prices traded volatile during last week as traders and investors filtered the US elections result and vaccine hopes. Bullion prices pared previous week's gains and ended weak, witnessing correction on risk-on sentiment.

Crude oil and base metals complex traded higher with crude oil rallying the most among non-agro space on positive global cues with rally in equity indices. The dollar index also joined the rally in riskier assets ended half a percent up for the week which dampened safe haven demand for precious metals.

Bullion prices traded lower during the week witnessing correction on risk-on sentiments on vaccine hopes news. COMEX spot gold prices ended in red by 3 percent to $1,889 per ounce as prices failed to sustain above $1,940 levels. Spot silver prices at COMEX ended down by 3.68 percent to $24.67 per ounce for the week. At MCX Gold December contract ended 2.39 percent lower while MCX Silver December lost 2.44 percent as rupee depreciation kept down side limited. The spot rupee depreciated by 0.54 percent against the dollar during the week.

Bullion prices witnessed sharp selloff in the start of the week on improved investment sentiments after Pfizer announced that vaccine in trial has been 90 percent effective to treat corona virus. Traders and investors side-lined worries over slower economic growth and record virus cases in Europe and US boosting buying in riskier assets. Markets later weighed the progress and safety concerns of the vaccine in development which drew investors to focus on current market uncertainty. Bullion prices kept down side limited after John Hopkins University data showed record daily increase in virus infections in US. The fear of lockdown measures in Japan also triggered some buying in bullion later on Friday.