Zinc gains as support seen after China's economy grew faster than expected in the fourth quarter of 2017- 19 Jan 2018

Commodity Intraday Tips
Gold Prices Gain In Asia On Weaker Dollar, Markets Eye US Budget Process. 
Gold prices gained in Asia on Friday as a weaker dollar brought physical demand into the market. Gold prices eased from four-month highs as US yields rose sharply after strong growth data from China and amid expectations that inflation would soon gather pace. Yields on United States 10-Year reached a ten-month high amid strong China economic growth data and rising expectations for faster inflation growth, which pressured gold prices to retreat from four-month highs. Gold is sensitive to moves in U.S. rates, which lift the opportunity cost of holding non-yielding assets such as bullion. Despite the bank’s warning, traders remain bullish on the yellow metal as data last week showed they increased their bullish bets on gold for the fourth-straight week.

Zinc gains as support seen after China's economy grew faster than expected in the fourth quarter of 2017.
Zinc on MCX settled up 0.14% at 217.70 as support seen after China's economy grew faster than expected in the fourth quarter of 2017. Rising supplies of zinc over the next couple of years are unlikely to replenish dwindling inventories to the extent that the market stops fretting about shortages and driving up prices towards the peaks seen in 2017. China's economy grew faster than expected in the fourth quarter of 2017, as an export recovery helped the country post its first annual acceleration in growth in seven years.

Nickel prices gained as support seen with better-than-expected China economic data.
Nickel on MCX settled up 0.67% at 795.50 as support seen with better-than-expected China economic data. China’s economy grew faster than expected in the fourth quarter, helped by a rebound in the industrial sector, a resilient property market and strong export growth. China’s housing market picked up slightly in December, but price growth more than halved in 2017 as government curbs on speculation took effect. Nickel saw a deficit from January to November 2017 with demand exceeding production by 63,600 mt. 

Oil prices fall over 1 percent on recovery in U.S. output. 
Oil prices dropped more than 1 percent on Friday as a bounce-back in U.S. production outweighed ongoing declines in crude inventories. If Friday's falls last, this week will see the biggest weekly price declines since October.Traders said the lower prices were prompted by a recovery in U.S. oil production after a recent drop, as well as by an expected fall in demand when winter ends in the northern hemisphere. U.S. crude oil production stood at 9.75 million barrels per day (bpd) on Jan. 12, data from the Energy Information Administration (EIA) showed. Output had fallen to 9.49 million barrels at the start of the year, due largely to a cold snap that shut down some production. Most analysts expect U.S. output to break through 10 million barrels per day soon.

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Zinc dropped on profit booking ahead of the release of data that is expected to show China’s economic growth- 18 Jan 2018

Commodity Intraday Tips
Gold Prices Fall In Asia On Profit Taking, Mild Dollar Rebound
Gold prices fell in Asia on Thursday in profit taking and after a mild dollar rebound  overnight. Overnight, gold prices remained close to four-month highs on Wednesday amid expectations the precious metal would likely ‘shrug off’ rate hike worries while dollar weakness limited downside. In a rising interest rate environment, investor appetite for gold weakens as the opportunity cost of holding the precious metal increases relative to other interest-nearing assets such as bonds.

Copper prices dropped as traders locked in profits ahead of Lunar New Year.
Copper on MCX settled down -1.26% at 450.75 on fresh selling resumed its decline as some speculators took profits from a December rally and others went short after prices broke below technical levels. Copper surged 12 percent during its December rally and has since eased back by about 3 percent. Prices turned weak as uncertainty about supply in the market because of Chinese import restrictions on copper scrap and labour contract talks at several mines, including the huge Escondida mine. Pressure also seen after the report that  futures brokerage Gelin Dahua has cut its long position on the Shanghai Futures Exchange (ShFE) April copper contract by 75 percent over the past two days, according to Reuters calculations based on ShFE data.

Zinc dropped on profit booking ahead of the release of data that is expected to show China’s economic growth  slowed in the fourth quarter.
Zinc on MCX settled down -1.14% at 217.40 as prices failed to hold 220 level on MCX and prices were under pressured after Chinese iron ore futures fell for a fifth day running to 2-1/2 week lows. Prices have been pressured by low demand in the world‘s biggest consuming nation amid ongoing curbs on steel production in a campaign against smog. Zinc had the largest speculative net long position on the LME with 18.5 percent of open interest as of Friday. Meanwhile Zinc premiums remained stable across global markets, with the backwardation in London Metal Exchange zinc spreads and high prices choking interest, while the premium for 99.99% lead ingots in the United States saw the first adjustment in four months.

Oil up on threats of rebel attacks in Nigeria, falling US crude stocks
Oil prices rose on Thursday on a reported decline in U.S. crude inventories, and as rebels in Nigeria threatened to attack the country's petroleum infrastructure. However, prices stayed below recent three-year highs as fuel supplies remain ample and as refineries scaled back operations.Traders said prices had been pushed up after reports that Nigeria's militant group Niger Delta Avengers threatened to launch attacks on the country's oil sector in the next few days. Markets were also supported by a drop in available crude inventories. "Prices ... rallied on the back of noticeable de-stocking of crude inventories," said Fawad Razaqzada, market analyst at future brokerage Forex.com. 

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Copper dropped as worries lingered over fading demand in China before the Lunar New Year- 17 Jan 2018

Commodity Intraday Tips
Gold Prices Up in Asia As Trending Weaker Dollar Aids Sentiment - 
Gold prices gained in Asia on Wednesday with a weaker dollar helping demand for the precious metal priced in the US currency. Overnight, gold prices traded roughly unchanged on Tuesday, shrugging off a rebound in the dollar from three-year lows as data showed traders remained bullish on the precious metal despite the uptick in demand for riskier assets. Gold prices remained close to four-month highs amid ongoing demand for the yellow metal as data showed traders increased their bullish bets on gold for the fourth-straight week. Gold’s strong start to the year comes against continued risk-on sentiment as global equities extended their gains from 2017, rising to all-time highs. Some market participants, however, said they expected the yellow metal to range trade in 2018 amid expectations of additional Federal Reserve rate hikes this year. In a rising interest rate environment, investor appetite for gold weakens as the opportunity cost of holding the precious metal increases relative to other interest-bearing assets such as bonds.

Copper dropped as worries lingered over fading demand in China before the Lunar New Year - 
Copper on MCX settled down -0.5% at 456.50 as LME Copper dropped 1.8% to settle at $7,078 a ton marking the biggest drop since Dec. 5. Rising stockpiles this year and LME spot prices trading below futures suggest that buyers aren't rushing to secure copper as factories ramp up. The metal advanced 7.2% in December, capping the biggest annual gain in eight years, but has started to retreat this month. Prices are down 2.3% so far in 2018. Sentiments capped as report shows that copper market are in surplus for 2018 of 48,000 tonnes forecast by BMO Capital Markets could be wiped out if wage negotiations at mines in top producers Chile and Peru lead to strikes that disrupt supplies. A deal on labour conditions at Escondida in Chile, the world’s largest copper mine, expires in June. Also China, the world’s largest consumer, could also suck in massive amounts of refined copper if authorities there aggressively enforce restrictions on imports of scrap. 

Oil prices edge up on tighter supplies, healthy demand - 
Oil prices rose on Wednesday on tightening supply and strong global demand, although some analysts warned of a downward correction after a more than 13-percent price rise in a month. Prices have been driven up by production curbs in OPEC nations and Russia, as well as by healthy demand-growth.In an effort to tighten markets and prop up prices, the Organization of the Petroleum Exporting Countries (OPEC) and Russia started to withhold production in January last year, and the cuts are set to last through 2018. This restraint has coincided with healthy oil demand and economic growth, pushing up crude prices by more than 13 percent since early December. "Oil remains underpinned by the solid economy with strong oil demand tightening global oil inventories. The past years' surplus supplies are slowly disappearing," said Norbert Ruecker, head of commodity research at Swiss bank Julius Baer.

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Oil markets near three-year highs, supported by healthy demand- 16 Jan 2018

Commodity Intraday Tips
Gold Gains In Asia As Weaker Dollar Trend Aids Buying Sentiment.
Gold prices rose in Asia on Tuesday as the market shrugged off signs of tighter monetary policies ahead for the Bank of Japan and European Central Bank and took advantage of a weaker dollar trend to buy the greenback-denominated commodity. Overnight, gold prices remained supported at four-month highs on Monday, as demand for the U.S. dollar continued to broadly weaken. The dollar shrugged off data on Friday showing that underlying U.S. consumer prices recorded their largest increase in 11 months in December, adding to expectations that inflation will accelerate this year. Gold is sensitive to moves in the dollar. A weaker dollar makes gold less expensive for holders of foreign currency.
   
Copper prices gained getting support from resilient China demand, after China's commodities buying spree eased slightly in December from bumper levels a month earlier.
Copper on MCX settled up 1.27% at 458.80 gained on short-covering rallied on a potent combination of a softer dollar, dwindling inventories and continued robust outlook for demand. All metals climbed as the Bloomberg Dollar Spot Index fell to the lowest since September, reinforcing sentiment in a market that’s being buoyed by signs of supply constraints and rebounding demand across the globe. The improving demand outlook has helped lift the Bloomberg Commodity Index toward the highest level in 11 months. 

Zinc prices gained as support continues as a dearth of mining investment in the recent years has resulted in a shortage of the refined metal
Zinc on MCX settled up 1.03% at 219.85 on fresh buying prices climbing to a fresh decade high on the back of a weaker US dollar and lower inventories. Overall it’s been a strong start of the year for the base metal, with prices increasing 1.4 percent year-to-date and more than 20 percent year-on-year. Market belive zinc prices might jump even further in 2018, as solid Chinese data, a weaker dollar and falling inventories continue to lend support. While from data point yesterday China’s economic growth is expected to have slowed slightly in the fourth quarter from the previous quarter, as the government extended a crackdown on debt risks and factory pollution.
 
Oil markets near three-year highs, supported by healthy demand. 
Brent crude prices were on Tuesday settling in around $70 per barrel, levels last seen before the start of an oil market slump in late 2014. Prices have been driven up by production curbs in OPEC nations and Russia, as well as by robust demand on the back of healthy global economic growth."We have updated our supply/demand balances to reflect a faster-than-expected tightening in the global oil market due to improving cyclical conditions, cold winter weather, and higher than expected OPEC compliance," Bank of America Merrill Lynch (NYSE:BAC) said. In an effort to tighten markets and prop up prices, the Organization of the Petroleum Exporting Countries (OPEC) and Russia started to withhold production in January last year, and the cuts are set to last through 2018.

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Gold Prices Gain in Asia As Inflation Views Debated, US Holiday Ahead- 15 Jan 2018

Commodity Intraday Tips
Gold Prices Gain in Asia As Inflation Views Debated, US Holiday Ahead.
Gold prices gained in Asia on Monday with a holiday ahead in the US keeping trade light and the market awaiting more signals on inflation this year as debate grows over the extent of potential price gains globally. Financial markets in the U.S. are to remain closed for the Martin Luther King Day holiday. Later this week, China is slated to release what will be closely watched fourth-quarter growth data, while in Europe investors will await monthly inflation data to assess how fast the ECB could start unwinding its asset purchase program. Last week, gold prices rose for the third straight session on Friday to hit fresh four month highs after hawkish European Central Bank minutes boosted the euro to multi-year highs against the dollar. 

Copper eased after data showed a sharp decline in the country’s imports of the red metal in December.
Copper on MCX settled down -0.68% at 453.05 after data showed a sharp decline in the country’s imports of the red metal in December. Tongling Nonferrous Metals Group, one of China's top copper smelters, will suspend production at its Jinguan Copper unit for three days from Friday for repairs, a source familiar with the matter said. Indonesia hopes to finalise contract talks with Freeport McMoRan Inc. over the Grasberg copper mine by June, although divestment issues are still unresolved, a mining ministry official said. 

Zinc prices edged up to supported by potential shortages and low inventories, but some investors voiced   concern about the lofty levels.
Zinc on MCX settled up 0.44% at 217.6 to supported by potential shortages and low inventories, but some investors voiced concern about the lofty levels. Benchmark zinc on the London Metal Exchange climbed to $3,409 a tonne, the strongest since August 2007, before paring gains by the close to $3,383.50, up 0.1 percent. Zinc has rallied 11 percent since early December and was the top gainer among LME metals last year, surging 32 percent. LME inventories have tumbled 58 percent over the past 12 months to 180,150 tonnes after closures and suspensions of big mines in recent years. 
 
Oil near three-year highs on output cuts despite rising North American rig count. 
Oil prices held just below December 2014 highs on Monday, supported by ongoing output cuts led by OPEC and Russia despite a rise in U.S. and Canadian drilling activity that points to higher future output in North America. ANZ bank said on Monday oil prices had recently risen "on the back of data continuing to show the market is tightening." Oil markets have been well supported by production cuts led by the Organization of the Petroleum Exporting Countries (OPEC) and Russia which are aimed at propping up crude prices. The cuts started in January last year and are set to last through 2018, and they have coincided with healthy demand growth, pushing up crude prices by more than 13 percent since early December. But other factors, including political risk, have also supported crude. "Tighter fundamentals are (the) main driver to the rally in prices.

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Crude Oil Dips In Asia Despite Strong China Data on Oil Imports - 12 Jan 2018

Commodity Intraday Tips
Gold Prices Gain In Asia After Chinese Trade Data Mixed.
Gold prices inched up on Friday in Asia with Chinese trade data providing a mixed picture on global demand prospects and potential higher inflation. Gold prices rose to nearly four-month highs as the dollar came under pressure after the euro surged on hawkish European Central Bank meeting minutes suggesting monetary policy tightening may soon follow. The European Central Bank could consider a gradual shift in guidance from early 2018, the minutes of the ECB December meeting showed, as policymakers saw "some comfort" in wage dynamics despite ongoing concerns over subdued inflation. The hawkish tone of the minutes fuelled a surge in the euro, pressuring the dollar toward four-month lows, while weaker-than-forecast wholesale inflation for December deepened the dollar’s retreat supporting an uptick in gold prices. Dollar-denominated assets such as gold are sensitive to moves in the dollar – A dip in the dollar makes gold cheaper for holders of foreign currency and thus, raises demand.
   
Lead companies to see output affected on air pollution forecast.
China’s Ministry of Environmental Protection has asked Beijing, Tianjin, Hebei, Shanxi, Shandong and Henan provinces to wrestle with heavily-polluted weather forecast for the January 12-17 period in those regions. SMM learned that primary lead plants in Henan have delayed their restart plans in mid-January while lead storage battery plants in Shandong also received production restriction notice. How much production cut is required was unclear at the time of writing.

Report: Madagascar’s major nickel mine suspended for one month.
Operations at Sumitomo Corp’s Ambatovy nickel mine in Madagascar were suspended on January 4 before hurricane Ava hit, the company said on Thursday January 11. Some equipment has been damaged but the maintenance work has started. The company expected the repairing work to finish by the end of January while production would be halted during the time, Reuters reported. This would have some impact on Chinese domestic steel mills as they import nickel briquette from the mine under a tax-free policy. 
 
Crude Oil Dips In Asia Despite Strong China Data on Oil Imports. 
Crude oil prices dipped in Asia on Friday despite solid China trade data on imports for the month of December and all of 2017 with US rig count data ahead.China's crude oil imports in December come in at 34 million metric tons, while 2017 crude imports rose 10.1% to 420 million metric tons, highest on record. Overnight, crude oil prices settled near three-year highs on Thursday amid expectations that global oil demand growth and ongoing OPEC cuts would continue to reduce excess supplies. The rally in oil prices continued unabated amid investor optimism that key factors supporting the late-2017 rally such as strong OPEC compliance, and bullish oil demand growth amid rising global economic growth would offset the expected ramp up in non-OPEC output.

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Gold Prices Dip In Asia As Bank of Japan And People's Bank Of China Eyed- 11 Jan 2018

Commodity Intraday Tips
Gold Prices Dip In Asia As Bank of Japan And People's Bank Of China Eyed -   
Gold prices eased slightly in Asia on Thursday as investors debated the prospect of China sharply trimming purchases of US Treasury and whether the Bank of Japan is set to inch forward on a way out of its aggressive monetary policy. Overnight, gold prices were hovering near four-month highs on Wednesday, as sentiment on the U.S. dollar weakened ahead of retail sales and inflation reports due at the end of the week. The U.S. dollar received no support after official data on Wednesday showed that U.S. import prices rose less than expected in December, while export prices unexpectedly fell. Market participants were now focusing on the release of U.S. inflation data due on Friday, for clues on the potential pace of rate hikes by the Federal Reserve.  

Copper prices gained as the dollar softened and the World Bank issued a solid view of global economic growth -  
Copper on MCX settled up 0.74% at 457.1 as the dollar softened and the World Bank issued a solid view of global economic growth. China’s producer price index (PPI) in December rose 4.9% from the same month a year ago, higher than the expectation at 4.8%.  Market participants were now focusing on the release of U.S. inflation data due on Friday, for clues on the potential pace of rate hikes by the Federal Reserve. The greenback had initially strengthened after San Francisco Fed President John Williams said that the Fed should raise interest rates three times this year given that economy will benefit from tax cuts.

Crude Oil Mixed In Asia With Iran Economic Sanctions Waivers In Focus - 
Crude oil prices were mixed in early Asia on Thursday with investors braced for a decision expected on Friday on whether the Trump administration will continue with economic sanctions waivers on Iran.Advisers want Trump to extend Iran deal economic sanction waivers with a decision expected on Friday. But Trump, who has previously vowed to scrap the nuclear pact, is privately expressing reluctance to continue with the waivers - which would imperil a a multi-national deal that includes Russia and European allies. Overnight, crude oil prices settled higher on Wednesday as traders cheered an unexpected drop in US production while data showing crude stockpiles fell for the eighth-straight week lifted sentiment. Crude oil prices continued their bullish start to the week as traders cheered signs of ongoing tightening in domestic crude oil supplies which offset a larger-than-expected build in both gasoline and distillate stockpiles

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