Commodity Important Updates for 09 Sep, 2016
Gold trading range for the day is 31018-31472. Gold dropped after the ECB held interest rates at record lows but refrained from adding new stimulus as some investors had expected. The ECB said it was maintaining its benchmark interest rate at a record-low 0.0% and held its deposit facility rate unchanged at -0.4%. The number of people who filed for unemployment assistance in the U.S. last week fell to a seven-week low.
Silver trading range for the day is 46138-47648. Silver prices dropped as pressure seen after the U.S. dollar strengthened and the European Central Bank left interest rates unchanged. The U.S. Department of Labor said the number of individuals filing for initial jobless benefits decreased by 4,000 to 259,000 last week. The central bank reiterated that it is prepared to expand its monthly asset-purchase program beyond March 2017, if needed.
Crudeoil trading range for the day is 2969-3271. Crude oil skyrockets by almost 4.77% as support after biggest weekly drop in stockpiles since January 1999. Crude inventories declined by 14.5mbls during the week ending on Sept 2nd, according to the EIAs latest report. The OPEC and non-OPEC producers such as Russia are expected to discuss the issue at informal talks in Algeria from Sept. 26-28.
Zinc trading range for the day is 151.4-155.6. Zinc can see pressure as potential threat that Glencore can reactivate the 500,000 tonnes of mine capacity Chinas imports unexpectedly rose in August for the first time in nearly two years, boosted by coal and other commodities. Closures of zinc mine has led to a looming zinc shortage which can be most clearly seen in the price which has risen by 60%.
Nickel trading range for the day is 673.8-694.2. Nickel rose to its highest in three weeks as still support seen on the news that the Philippines authorities are reviewing export activity. Traders noted the talk that Indonesia might ease its export ban on unprocessed ore have been revived. Best-performing LME nickel prices rose to its highest in three weeks at $10,370 a tonne, and was up 1.3 percent at $10,340 at close.
Menthaoil trading range for the day is 882.1-926.5. Mentha oil spot at Sambhal closed at 1036.30 per 1kg. Spot prices is down by Rs.-2.80-. Mentha oil prices dropped amid fall in physical demand from major consuming industries in the domestic spot market. While overall sentiments dropped as demand is not picking up as per udpate exports have registered a decline in volume terms. China and Japan have reduced their buying quantity in the recent past due to the economic slowdown had impacted Mint products exports.
Soyabean trading range for the day is 3174-3288. Soyabean prices gained on short covering amid firmness in spot demand and after prices dropped due to monsoons showing improvement. China’s soybean imports were forecast to hit a record high of 86mtns in the 2016-17 marketing year that begins Oct. International Soybean prices drew support from a USDA report showing export inspections of U.S. soybeans in the latest week at 1,232,739 tonnes. At the Indore spot market in top producer MP, soybean dropped -14 rupee to 3443 rupee per 100 kgs.
Turmeric trading range for the day is 6736-7036. Turmeric prices gained on short covering tracking firmness in spot demand. The arrivals in the main physical markets such as Nizamabad, Duggirala (AP), Salem, Erode and Sangli reported decreasing. NCDEX accredited warehouses turmeric stocks dropped by 29 tonnes to 7434 tonnes. In Nizamabad, a major spot market in AP, the price ended at 7402.95 rupees dropped -20.55 rupees.
Jeera trading range for the day is 17495-18065. Jeera prices dropped on account of higher supply from the producing belts. According of data, the exports of Jeera in the first three months (Apr-Jun) of 2016-17 is at 44,023 tonnes, higher by 71.7%. NCDEX accredited warehouses jeera stocks dropped by 196 tonnes to 4858 tonnes. In Unjha, a key spot market in Gujarat, jeera edged down by -375 rupees to end at 18500 rupee per 100 kg.
Aluminium trading range for the day is 104.4-106. Aluminium settled flat as pressure continued on prices burdened by oversupply. Technically prices should get support in todays session as fresh buying seen after the Chinas imports data. Aluminium has come under pressure this week on the SHFE amid rising domestic inventories.
Naturalgas trading range for the day is 175.3-193.3. Natural gas shown biggest daily gain after government data showed a smaller than expected increase in storage EIA said natural gas stockpiles grew by 36bcf last week, compared with the 43bcf High pressure will dominate the southern and eastern US with very warm temperatures.