Outlook on crude oil still bearish; bullish on aluminium: Nirmal Bang’s Kunal Shah

Kunal Shah of Nirmal Bang Commodities discusses with CNBC-TV18 the current trend in commodities markets.

On crude Shah said, “I am not very optimistic about the outlook of crude oil. I am of the view that any rallies in oil should be sold and with the rate hike from the US and the European Central Bank going forward, which is going to follow, I think oil is going to remain under pressure.”

He added, “WTI you can see $90 in a matter of next 20 days to one month, Brent should edge lower $92 and our outlook on oil continue to remain bearish.”

On metals, he said, “We are optimistic about the outlook of metals such as aluminium; we are bullish, and we recommend to go long in aluminium on MCX at Rs 268 for the upside target of Rs 278. So, another 5 to 8 percent upside in aluminium is what we are going to see in days to come.”