Commodity Important Updates for October 27, 2016
Gold trading range for the day is 29681-30077.Gold prices inched down as the U.S. dollar steadied, but underlying demand for bullion was seen as robust ahead of major festivals in India.Bank of England Governor Mark Carney cast doubt on expectations for more monetary stimulus.SPDR gold trust holdings dropped by 1.49% i.e. 14.24 tonnes to 942.59 tonnes from 956.83 tonnes.
Silver trading range for the day is 41730-42762.Silver dropped as investor appetite for riskier assets such as equities, denting demand for bullion, often considered a safe haven.Data released by the U.S. Department of Commerce showed that new home sales rose 3.1 percent to an annual rate of 593,000.The U.S. central banks next meeting is in November, but a rate hike ahead of the presidential election is seen as unlikely.
Crudeoil trading range for the day is 3233-3387.Crude oil dropped as doubts over OPECs ability to organize a coordinated production cut weighed on markets.The U.S. Energy Information Administration (EIA) said domestic crude stockpiles fell 553,000 barrels last week.The API said that crude inventories rose 4.8 million barrels last week, larger than expected, and following a 3.8 million draw the previous week.
Copper trading range for the day is 314.1-320.9.Copper prices gains buoyed by brightening prospects for the U.S. economyChina is expected to step up copper imports in the coming months as a weaker yuan opens up arbitrage opportunities and demand picks up.Chilean miner Antofagasta predicted that full-year copper output would be at the lower end of guidance, and production next year would still be low.
Zinc trading range for the day is 154.5-158.5.Zinc prices dropped on profit booking after prices gained fuelled by surging prices for Chinese steel and a pick-up in manufacturing activities.SHFE sheds stocks have been steadily declining, they stood at 165,295 tonnes, down from 207,163 tonnes at the start of the year.Premiums for zinc in Shanghai bonded zones rose by $5 to $115-$125 last week, the first rise since May, signs of an expected tightening supply.
Nickel trading range for the day is 670.1-691.5.Nickel dropped on profit booking after gaining as gains in global manufacturing boosted speculation that demand will improve for metals.A suspended Philippine nickel miner said it has sued government environment agencies for a nearly four-month stoppage of its operations.BHP Billiton Ltd. sees the nickel market swinging into deficit because of supply threats in the Philippines.
Menthaoil trading range for the day is 894.7-924.1.Mentha oil spot at Sambhal closed at 1034.00 per 1kg. Spot prices is up by Rs.3.20-.Menthaoil settled up due to rising demand against restricted arrivals from the major producing belts.The preliminary mandi source suggests that production of menthol is likely to be around 34-35000 tonnes during 2016-17.At Rampur market, sources reported arrivals at 6 Drums(1-drum=180kg), up by 1 Drums(1-drum=180kg) from previous trading day.
Soyabean trading range for the day is 3085-3155. Soyabean gained tracking higher prices in overseas market following strong demand from China, the worlds biggest importer. The farmers are also releasing their supplies slowly anticipating prices to go up further. NCDEX accredited warehouses soyabean stocks gained by 1711 tonnes to 9282 tonnes. At the Indore spot market in top producer MP, soybean gained 25 rupee to 3035 rupee per 100 kgs.
Turmeric trading range for the day is 7118-7414. Turmeric prices gained due to expectation of good demand from domestic as well as upcountry buyers ahead of festival season. Though, higher arrivals from major producing belts capped some gains in turmeric prices. NCDEX accredited warehouses turmeric stocks dropped by 10 tonnes to 3776 tonnes. In Nizamabad, a major spot market in AP, the price ended at 7489.45 rupees dropped -6.6 rupees.
Jeera trading range for the day is 16435-17605.Jeera prices ended with losses amid lower domestic and exports demand at the spot market.Traders are expecting jeera export during the current fiscal around 120,000 ton up from 98,700 ton last year.NCDEX accredited warehouses jeera stocks dropped by 207 tonnes to 2164 tonnes.In Unjha, a key spot market in Gujarat, jeera edged down by -22.75 rupees to end at 17500 rupee per 100 kg.