Gold drifts higher in Asia as India-China spat in focus - 18 Aug 2017

Commodity Intraday Tips
Gold drifts higher in Asia as India-China spat in focus.  
Gold drifted slightly higher in Asia with some attention shifting to a tense Himalayan standoff between India and China who fought a brief, but bloody border war over the territory in 1962. India and China, the world's top two gold buyers, started a standoff two months ago when Indian troops confronted Chinese forces working on a road over the Doklam Plateau, a strategically important area near where Tibet, India and Bhutan meet, and which both China and Bhutan – an ally of India – claim as their own. Overnight, gold prices traded near session highs on Thursday after the minutes of the Federal Reserve’s July meeting showed members were concerned about raising interest rates amid a slowdown in inflation, narrowing investor expectations for a third rate hike later this year. The minutes of the Fed's July 25-26 policy meeting on Wednesday, showed some policymakers believed the Fed could afford to stand pat on further rate increases until it is clear the trend of soft inflation is transitory.   

Trevali Mining Zinc Exports Jump in First Half of 2017.   
Canada-based Trevali Mining exported some 604,500 tonnes of zinc in the first half of 2017, a growth of 15.2%. Rebar and Wire Rod Inventories Fall for 4 Straight Weeks in Guangdong, SMM Reports. The company has lead-zinc-silver mines in Peru, Canada and Africa. WBMS: World Zinc Deficit Deteriorate Sharply January-June.  

SHFE Aluminum to Trade in Wide Range.  
LME aluminum will range USD 2,055-2,075/mt today and test support at the 5-day moving average. SHFE 1710 aluminum will move in a wide range of RMB 16,000-16,250/mt.  In east China’s spot aluminum market, spot discounts are expected at RMB 240-200/mt over SHFE 1709 aluminum contract.  
   
Oil prices dip amid broader market selloff, despite tightening supplies. 
Oil prices dipped on Friday as part of a broad-based selloff across markets, and despite signs that crude markets are gradually tightening. Oil traders said the crude falls came amid a selloff across many other markets, including U.S. and Asian stocks, where investors voted with their feet amid growing scepticism U.S. President Donald Trump, embroiled in controversy, would achieve his economic agenda. The falls came despite signs, especially in the United States, that crude markets were gradually tightening. So far, OPEC and Russian output remains high as some members who have pledged to cut are not complying with their targets. On the demand side, Asia in particular could see some stronger crude orders going into the second half of the year, resulting in a tighter market.  

Investment & trading in securities market is always subjected to market risks, past performance is not a guarantee of future performance.
CapitalStars Investment Adviser: SEBI Registration Number: INA000001647

Gold gains in Asia as Fed indecision seen a buy opportunity - 17 Aug 2017

Commodity Intraday Tips
Gold gains in Asia as Fed indecision seen a buy opportunity.
Investors took advantage of more confusion about Fed policy on rates and took the precious metal higher in Asia on Thursday after minutes released overnight casts some doubt on a third hike this year. Fed minutes showed an increased debate about another rate hike this year and the political backlash against Donald Trump's remarks on racist confrontations this passed weekend in Virginia weighed. The summary portrays views that inflation ultimately will get to the Fed's 2% target but is clearly not there yet. Earlier, Cleveland Fed President Loretta Mester said that while some price readings have fallen this year, expectations are more stable, adding that monetary policy must anticipate changes in the data and not react to temporary aberrations. She said there is roughly an equal chance that the Fed is forced to raise rates more or less aggressively than currently planned in the months and years ahead.

Why Zinc Price Hits 10-Year High? Where is it Head? SMM Reports.  
LME zinc rose 1.6% on August 16 to breach $3,000 per tonne, peaking from October, 2007. The average operating rate at Chinese zinc mines is expected to fall 1.5% on the month to 74.2% in August. Meanwhile, some mines and smelters in Sichuan have slashed or suspended production after the entry of central environmental protection team, which will drag down their operating rates in August. Supplies declined, and gave support to zinc price.

WBMS: Global Aluminum Market in Big Deficit in H1 2017.
Global aluminum market was in a big deficit during the first six months of 2017, according to latest data from World Bureau of Metal Statistics (WBMS). UBS Raises Aluminum Price Forecast, Citing High-than-Expected Closure in China. In H1 2017, aluminum supply worldwide was in a deficit of 1.07 million tonnes, versus a shortage of 1.1 million tonnes for the whole of 2016.
 
Crude oil gain in Asia with U.S. inventory data a mixed picture.
Crude oil prices rebounded in Asia on Thursday as investors saw buying opportunity on an overnight dip on mixed U.S. inventory data. Record refinery runs in the U.S. are drawing down crude stocks, but gasoline produced is not seeing expected strong demand as the summer driving season heads to a close, said Matt Smith, director of commodities, Clipper Data. Overnight, crude futures settled lower on Wednesday, as data showing U.S. crude production rose to its highest in over two years offset a decline in supplies of U.S. crude for a seventh-straight week. Crude oil fell for the third-straight day, after a report from the Energy Information Administration (EIA) showing crude stockpiles fell by more than expected last week failed to offset concerns over a rise in production.

Investment & trading in securities market is always subjected to market risks, past performance is not a guarantee of future performance.
CapitalStars Investment Adviser: SEBI Registration Number: INA000001647

Gold falters after Kim Jong Un reportedly delays Guam strike - 16 Aug 2017

Commodity Intraday Tips

Gold falters after Kim Jong Un reportedly delays Guam strike.  
Gold prices fell on Tuesday, as U.S-North Korea tensions eased, after North Korean leader Kim Jong Un was reported to have delayed a decision on firing missiles towards the U.S. pacific territory of Guam. Gold prices struggled to shake off losses, as demand for safe-haven assets cooled, following reports from North Korean state media on Tuesday that leader Kim Jong Un had delayed a decision on firing missiles towards the U.S. pacific territory of Guam, suggesting that his earlier threats were rhetorical. Meanwhile, better-than-expected U.S. retail sales data for July, stoked expectations of stronger U.S. economic growth in third-quarter, adding further pressure on the yellow metal. At its policy meeting in July, Fed members voted to keep rates unchanged, citing concerns over the slowdown in inflation.  

Spot Zinc Price Surges in Tianjin, Chihong Resources still Short of Demand, SMM Reports.   
Zinc traded mainly in 25,050-25,710 yuan per tonne range in Tianjin August 16, 200 yuan per tonne above Shanghai price and 350-400 yuan per tonne above September zinc on the SHFE, SMM data showed. CNMC Signs MOU with Australia Zinc Explorer on Lead-Zinc Mine Project. Chihong branded #0 zinc still falls short of demand, SMM noted. Overall trading was lackluster since downstream buyers lacked buying interest in the face of high zinc prices. Zinc Downstream Producers in Zhejiang Ordered to Shut down for Environmental Protection, SMM Reports  

Philippines Reports 24 Per cent Decline in Nickel Ore Output in 1H 2017.  
The Philippines’ Mines and Geosciences Bureau (MGB) said on Tuesday in a report that the country’s nickel direct shipping ore fell 24 per cent in 1H 2017, citing suspension of some mining operations after government order and adverse weather. Output at 11 of 30 mines was zero during the first half of the year.  
   
Oil prices edge up on falling US crude stocks, but global glut still weighs. 
Oil prices edged up on Wednesday on a fall in U.S. crude inventories, although markets were still being weighed down by general oversupply."It is the ongoing fundamental issue of excessive supply that is continuing to weigh on oil prices. Not a lot has changed despite the OPEC and Russia efforts recently. While these producers have tried to limit their oil output, U.S. shale oil continues to rise," said Fawad Razaqzada, market analyst at futures brokerage Forex.com. On the demand side, analysts also see a gradual slowdown in consumption growth as gasoline demand peaks in the United States due to improving fuel efficiency and the rise of electric vehicles, while China's voracious oil thirst also starts to taper off. 

Investment & trading in securities market is always subjected to market risks, past performance is not a guarantee of future performance.
CapitalStars Investment Adviser: SEBI Registration Number: INA000001647

Gold gains in Asia in buy data day, Korea impasse continues - 14 Aug 2017

Commodity Intraday Tips
Gold gains in Asia in buy data day, Korea impasse continues. Gold prices gained slightly in Asia on Monday in a buy regional data day, but North Korea off the boil for now. Japan's second quarter surged an unexpected 4..0% on year as investment in plant and equipment lifted sentiment for the sixth straight quarter of expansion, official data released on Monday showed for the fastest pace of growth since January-March 2015.  Ahead this week, the Fed’s latest meeting will be in focus as investors look for more hints on the timing of the next U.S. rate hike. A report on U.S. retail sales will also be closely watched. Elsewhere, UK data on inflation and employment will be in the spotlight amid ongoing concerns over the economic fallout from Brexit. Demand for the precious metal was also underpinned by increased safe haven demand amid heightened geopolitical tensions between the U.S. and North Korea.  

Alumina Market to Face Pressure from Weiqiao Group after Big Aluminum Cuts, SMM Warns.   
Considering massive aluminum cuts at Weiqiao Group, alumina prices will face heavy downward pressure due to inflows of surplus alumina from the company, SMM expects. Breaking News: Weiqiao Group and Xinfa Group Ordered to Close Illegal Aluminum Capacity. Weiqiao Group announced it will release alumina into the market. Moreover, sales from Xinfa Group will exacerbate the situation.  

Lead Prices to Stage Corrections This Week after Rapid Growth, SMM Forecasts.  
LME lead will likely drop this week with price range at $2,320-2,380 per tonne, SMM expects. Primary Lead Inventory in Shanghai and Guangdong down 1,000 Tonnes Further, SMM Reports. Downstream battery producers are active in inquires but purchase based on orders. Finished goods inventories at primary lead smelters are low, and secondary lead market will remain in supply shortage due to strict environmental checks.  
   
Oil prices dip on weak Chinese refining activity. 
Oil prices dipped on Monday as a slowdown in Chinese refining activity growth cast doubts over its crude demand outlook, while rising U.S. shale output suggested supplies would likely remain high. "Demand is outperforming expectations amongst both developed and emerging markets. However, global crude inventories remain bloated and there are considerable uncertainties heading into 2018," BMI Research said in a note, including the possibility of rising supplies. Shale production in the largest U.S. oilfield should rise by as much as 300,000 bpd by December, according to industry forecasts. Oil production from the Permian Basin of West Texas and New Mexico is closely watched because its low costs and rapid growth have pressured efforts by the Organization of the Petroleum Exporting Countries to drain a global crude supply glut. 

Investment & trading in securities market is always subjected to market risks, past performance is not a guarantee of future performance.
CapitalStars Investment Adviser: SEBI Registration Number: INA000001647

Gold gains in Asia with NKorea tension supporting, India data ahead - 11 Aug 2017

Commodity Intraday Tips
Gold gains in Asia with NKorea tension supporting, India data ahead.
Gold found support in Asia on Friday as tensions between North Korea and Washington show no signs of abating and investors looked ahead to data out of top gold buyer India on FX reserves for July and industrial production for June. Overnight, gold prices jumped to two-month highs Thursday, as geopolitical tensions between the U.S. and North Korea remained while a duo of disappointing U.S. economic reports weighed on the dollar, lifting demand for the precious metal. Risk aversion continued for the second day in a row, lifting demand for the safe-haven gold, a day after North Korea said it was "carefully examining" a plan to strike Guam, where a U.S. military base is located. New York Fed President William Dudley, however, suggested Thursday, the central bank was on track to raise interest rates once more and begin shedding some bond holdings this year.

CV duty on Chinese Aluminum Foil imports by US.
Certain Aluminum foil imports from China has been imposed with preliminary countervailing duties by US Department of Commerce. With the decision of imposing CV duty all US companies found importing Chinese aluminum foil will have to give a cash deposit based on preliminary margins, the Commerce will instruct US Customs and Border to do so. China Aluminum International Trading Co. (Chalco Trading) further cut aluminum prices it offered across major markets today after yesterday’s cut. Chalco Warns of Uncertainties in China Aluminum Market

India Brass, Copper Scrap prices gain; Copper Futures settle slightly down.
India’s major brass and copper scrap prices gained on the Scrap Register Price Index as on Wednesday, while copper futures prices at India's Multi Commodity Exchange settled down mainly due to profit booking after prices rose as metals demand prospects have improved due to reconstruction activity.
 
Oil prices drop as oversupply concerns linger.
Crude Oil prices fell on Friday, dragged lower by persistent worries about oversupply despite a bigger-than-expected drawdown in U.S. crude inventories. Investors were also keeping a close eye on the broad market impact of tensions between the United States and North Korea. "Crude oil prices failed to hold recent gains, with a nervous market starting to doubt recent falls in inventories," ANZ bank said in a note. "Supply-side issues also weighed on prices, with data showing Libyan production in July hit its highest level for the year." Meanwhile, U.S. President Donald Trump stepped up his rhetoric against North Korea again on Thursday, saying his earlier threat to unleash "fire and fury" on Pyongyang if it launched an attack may not have been tough enough.

Investment & trading in securities market is always subjected to market risks, past performance is not a guarantee of future performance.
CapitalStars Investment Adviser: SEBI Registration Number: INA000001647
Visit Here- http://www.capitalstars.com/   

Gold holds gains in Asia with North Korea tension setting the tone - 10 Aug 2017

Commodity Intraday Tips

Gold holds gains in Asia with North Korea tension setting the tone.  
Gold prices held early gains in Asia on Thursday with the market alert for more of the war of words between North Korea and Washington stoking geopolitical tension in the region. Gold prices spiked to one-week highs Wednesday, on the back of a surge in safe haven demand, after North Korea said it is considering an attack on the U.S. pacific territory of Guam. Safe-haven demand rose after North Korea said it was "carefully examining" a plan to strike Guam, where a U.S. military base is located, shrugging off President Donald Trump’s earlier warning that further threats to the United States will be met with "fire and fury". The surge in gold prices come a day after the yellow metal snapped a three-day winning streak, as investors cheered U.S. job openings data that topped expectations suggesting the U.S. labor market continues to strengthened, raising the prospect of the Federal Reserve hiking rates later this year. The U.S. central bank left its benchmark rate unchanged in July amid concerns about the slowdown in inflation but expressed optimism that its long-term target of about 2% inflation would be met.  

Massive Output Cuts Not Enough to Reverse Oversupply in China Aluminum Market, SMM Says.   
Despite massive aluminum production cuts in China in July, the country’s aluminum supply is still in a surplus, SMM finds. China Aluminum Output to Drop MoM in August as Cuts Outpace New Capacity, SMM Expects. Output cuts outpaced new capacity. Moreover, aluminum is needed for commissioning of new aluminum capacity. As such, market is beginning to feel the decline in aluminum ingot and liquid supply. That said, domestic market is still in oversupply, given poor downstream consumption.  

First Quantum to Close One Nickel Mine in Australia..   
First Quantum Minerals announced to close its Ravensthorpe mine in Australia due to low nickel price. Philippine Nickel Ore Exports to Fall in July, SMM Reports. The closure, which will affect about 450 workers, will start from early next month.  
   
Crude oil narrowly mixed in Asia on caution with Korea tensions. 
Crude oil prices were narrowly mixed in Asia on Thursday with sentiment cautious on risk on the Korean peninsula and as investors await regular data points on supply and demand globally. Overnight, crude futures settled higher on Wednesday, as investors cheered data showing a sharp decline in supplies of U.S. crude but gains were capped by a surprise uptick in gasoline stockpiles. The meeting “proved fruitful and “will help facilitate full conformity with the Declaration of Cooperation, which participating countries remain steadfast in their commitment to fulfill.” Opec noted in a statement on its website.


Investment & trading in securities market is always subjected to market risks, past performance is not a guarantee of future performance.
CapitalStars Investment Adviser: SEBI Registration Number: INA000001647
Visit Here- http://www.capitalstars.com/   

Oil falls for third day as doubts over OPEC cuts linger - 9 Aug 2017

Gold gains in Asia on renewed risk sentiment on NKorea tensions.
Gold gained in Asia on Wednesday as geopolitical tensions on the Korean peninsula hit risk sentiment. North Korea said on Wednesday it is "carefully examining" plans for a missile strike on the U.S. Pacific territory of Guam, just hours after U.S. President Donald Trump told the North that any threat to the United States would be met with "fire and fury. "Overnight, gold prices edged lower on Tuesday, pressured by a rebound in the dollar, after U.S. job openings topped forecasts, pointing to an improving labor market, lifting expectations the Federal Reserve will keep to its plan to raise rates at least once more this year. Losses in the precious metal were limited, however, as some Fed members suggested that the slowdown in inflation will continue to weigh on the Fed’s ability to raise rates even if the U.S. job market continues to improve.

SHFE Zinc Surges to 6-Month High after Sichuan Earthquake, SMM Reports.
SHFE 1710 zinc rose to the highest from February 2017 after the 7-magnitude earthquake shook Sichuan Province, hitting 24,590 yuan per tonne, SMM and China Refined Zinc Output Falls in July, but to Grow in August alonh holding strong upward momentum , SMM Says. Lead and zinc mines in Aba prefecture, Sichuan, where the earthquake occurred, felt the quake. Workers and staffs of mines have retreated. SMM will continue to track the impact on their production.

China Aluminum Output to Drop MoM in August as Cuts Outpace New Capacity, SMM Expects.
China’s aluminum production will fall in August from July’s level since production cuts will outpace commissioning of new capacity, SMM predicts. In July, Shandong Weiqiao, Shandong Xinfa, Xinjiang East Hope, Inner Mongolia Jinlian, Xinjiang Jiarun and other smelters cut output, while Baotou Huayun and Sichuan Bomei, among others, added new capacity or restarted closed capacity. Output cuts outpaced new capacity, though.
 
Oil falls for third day as doubts over OPEC cuts linger.
Crude futures fell for a third day on Wednesday despite a bigger than expected fall in U.S. oil inventories reported by an industry group, with doubts lingering over OPEC's ability to restrain supply as promised. Crude stockpiles in the U.S. dropped more than expected last week as imports declined and refinery runs increased, while gasoline inventories increased unexpectedly, the American Petroleum Institute said late on Tuesday. The market seems immune to bullish signs of falling stockpiles as the Organization of the Petroleum Exporting Countries (OPEC) and other major producers struggle to maintain compliance with a deal to cut output. Officials from a joint OPEC and non-OPEC technical committee said on Tuesday that they expect greater adherence to the pact to cut 1.8 million barrels per day in production.

Investment & trading in securities market is always subjected to market risks, past performance is not a guarantee of future performance.
CapitalStars Investment Adviser: SEBI Registration Number: INA000001647
Visit Here- http://www.capitalstars.com/