Brent crude holds USD 122/bbl

By Gautam Broker, Research Analyst at CNBC-TV18

Commodity cues

US initial jobless claims for the week ended April 9 went up by 27,000 to 412,000. Market expected at 385,000. US Initial claims were above 400,000 for the first time in more than a month.

Dollar Index was down to 16-month lows. Crude gained on weak dollar. Brent ICE May contract closed at USD 122.4/barrel on expiry yesterday.

WTI crude was steady at USD 108.2/barrel and Brent crude was trading at around USD 122 a barrel today morning.

Gold hit a record of USD 1479.01/ounce and is seen heading to USD 1500/ounce if dollar support continues. Spot silver was above USD 42.4/ounce.

China economic data will be announced today - consensus expects inflation at 5.2% versus 4.9%. Local agencies believe inflation could be higher.

Data to watch
-Consumer Price Index
-Industrial production
-Consumer Sentiment
-Empire state manufacturing survey

Admisi advised to;
-Buy gold MCX June contract at Rs 21480 an ounce, with a target of Rs 21600 - 21700 and keep a stoploss of Rs 21395.