Aluminium futures little changed as demand picks up - 18 Jan 2017

Commodity Intraday Tips

Aluminium futures were little changed during morning trade in the domestic market on Wednesday as investors and speculators build up fresh bets in the industrial metal amid an increase in physical demand for aluminium at the domestic spot market.Further, rise in physical demand for aluminium at the domestic spot market was led by widening of positions by traders in the spot markets,

Gold

Gold jumped more than 1 percent to an eight-week high on Tuesday as stocks and the dollar fell after U.S. President-elect Donald Trump said the greenback was "too strong" and British Prime Minister Theresa May promised a parliamentary vote on Brexit. 

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 prices gain on Monday in Asia as the British pound fell - 16 Jan 2017

Commodity Intraday Tips

PRECIOUS METALS

Gold prices gain on Monday in Asia as the British pound fell on the terms of Brexit that could be outlined in a speech by Prime Minister Theresa May on Tuesday and as President-elect Donald Trump roiled markets with interviews and tweets on topics from BMW's manufacturing in mexico to cutting nuclear weapons ahead of his inauguration. Gold for February delivery rose 0.40% at $1,200.95 a troy ounce on the Comex division of the New York Mercantile Exchange.  Investors will be looking ahead to Thursday’ policy announcement by the European Central bank and Chinese data on fourth quarter growth, due for release on Friday. On Monday, U.S. financial markets will be closed for Martin Luther King Day and Bank of England Governor Mark Carney is due to speak at an event in London.

BASE METALS

LME copper is expected to move at USD 5,850-5,920/mt during Asian trading hours on Monday and SHFE 1703 copper will move at RMB 47,700-48,200/mt. In China’s domestic market, spot copper should trade at discounts of RMB 150-50/mt on Monday. Market players will see a light data calendar on Monday, and eyes should be on final reading of Italy’s CPI in December 2016, European trade balance in November 2016 and Canada’s economic sentiment index as of last week.US Federal Reserve officials reached consensus on expectation over rate-hiking but the times will be discussed further. Besides, many Fed officials have intention to narrow balance sheet, tightening monetary policy, which will trigger big turbulence in market. US dollar increased slightly on January 13, but was weighed down by the moving averages. So, US dollar index will fluctuate at lows, sending base metals up. Trading will be brisk on Monday. But some metals will stage technical corrections after surging.

ENERGIES

Oil prices inched up on Monday, supported by a weaker dollar and expectations that OPEC and other producers will cut output as part of a deal to curb global oversupply. Traders said that prices were buoyed by a weakening dollar, which makes fuel purchases cheaper for countries that use other currencies domestically, potentially spurring demand. After spending much of the second half of 2016 in an upward trend, the dollar has fallen around 2.5 percent against a basket of other leading currencies (DXY) since its early-January peak. The greenback is in particular focus for international investors this week as Donald Trump is set to take office as the next U.S. president on Friday. Oil also continued to receive support from an announced crude output cut from major producers including the Organization of the Petroleum Exporting Countries (OPEC) and Russia.

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 and copper prices dipped in Asia on Friday despite upbeat trade data - 13 Jan 2017

Commodity Intraday Tips

PRECIOUS METALS

Gold and copper prices dipped in Asia on Friday despite upbeat trade data out of China that showed the industrial metal on the upswing. Gold for February delivery on the Comex division of the New York Mercantile Exchange fell 0.54% to $1,193.35 a troy ounce. In sparse remarks, Federal Reserve Chair Janet Yellen on Thursday said she has no major worries for the U.S. economy over the short term. The labor market is "strong," wage growth is "beginning to pick up," and inflation is a little below the Fed's 2% target "but pretty close," she told a group of economics teachers in Washington, D.C. on Thursday evening. Overnight, gold prices rallied to a seven-week high on Thursday on dollar weakness. The Fed had indicated in December that at least three rate increases were in the offing for 2017, according to a forecast of interest rates from members of the central bank, known as the dot-plot.

BASE METALS

Utilization rates at major domestic copper tube/pipe producers grew in December both on a monthly and yearly basis, SMM latest survey finds. The average operating rate was 77.31 percent in December, up 0.36 percentage points year-on-year and 0.62 percentage point’s month-on-month, according to SMM survey. SMM attributes the rise to rate mainly to high demand in a traditionally busy production season. In December, domestic air-conditioning manufacturers stepped up production as traders showed higher stockpiling demand due to seasonal factor and price rise expectations after surging prices of raw materials since November. Moreover, the fallback in copper market in December also encouraged copper tube/pipe producers to build up stocks.

ENERGIES

Oil prices were steady on Friday, supported by reports on details of OPEC output cuts, although lingering doubts over producer compliance with supply reduction targets weighed on the market.Traders said that prices received some support from statements from top crude exporter Saudi Arabia that its output had fallen below 10 million barrels per day (bpd), a level last seen in February 2015.That would also mean that the kingdom has cut production more than the 486,000 bpd it agreed to late last year under a global deal to curb production and stem a fall in oil prices. However, hard evidence of deep supply reductions to customers has yet to emerge two weeks into January, when the planned cuts by the Organization of the Petroleum Exporting Countries (OPEC) and other producers like Russia are supposed to take effect.

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

OPEC expects to see global oil inventories fall by the second quarter of this year - 12 Jan 2017

Commodity Intraday Tips
ABU DHABI - OPEC expects to see global oil inventories fall by the second quarter of this year in response to producers' agreement to cut output, OPEC Secretary-General Mohammed Barkindo said on Speaking to reporters on the sidelines of a conference, Barkindo said OPEC had no specific oil price objective in mind,but wanted a price that would sustai

BASE METAL
Nickel futures surge on rise in physical demand, Nickel futures were trading higher during the morning trade in the domestic market on Thursday as investors and speculators extended  their positions in the industrial metal on rise in physical demand  from consuming industries amid weake US dollar against a basket of other currencies.                                                                                        
At the MCX, nickel futures for January 2017 contract is trading at Rs 697.20 per kg, up by 1.25 per

Gold hits 7-week highs on weaker dollar after Trump briefing

Gold rose to a 7-week high on Thursday on a weaker dollar after U.S. President -elect Donald Trump provided little clarity on future fiscal policies at a press briefing. Spot gold was up 0.5 percent at $1,196.06 per ounce, after touching a high of $1,198.58, its best since Nov. 23.U.S. gold futures rose 0.1 percent to $1,197.80 per ounce.

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

Oil prices edge up on reports of Saudi supply cuts, but details murky - 11 Jan 2017

Commodity Intraday Tips
PRECIOUS METALS

Gold prices gained with the focus on policymaker remarks this week in the U.S. led by the next U.S. president on Wednesday. Gold for February delivery on the Comex division of the New York Mercantile Exchange edged up 0.11% to $1,186.75 a troy ounce.Overnight, gold prices rallied to a six-week high on Tuesday, amid jitters ahead of President-elect Donald Trump’s first news conference since his election victory on Wednesday. U.S. President-elect Donald Trump is to hold a press conference at 11:00 AM on Wednesday, which investors will be watching for any hints about the possible direction of economic policy.Gold has been well-supported in recent sessions after minutes from the Federal Reserve’s December meeting unsettled investors’ expectations about the pace of future interest rate hikes.

BASE METALS

Peru’s government said January 10 the country’s copper output is expected to increase 20% in 2017, wenhua.com reported. Peru’s copper production is expected to be 2.60-2.70 million tonnes in 2017, higher than the 2.20 million tonnes estimated in 2016.  The country’s copper output hit an all-time high of 2.15 million tonnes in the first eleven months of 2016, surging 42% from the same period of 2015. This is due mainly to surge in output at MMG’s Las Bambas copper mine and expansion by Freeport-McMoRan Inc at its Cerro Verde mine.LME copper is expected to move at USD 5,640-5,750/mt during Asian trading hours on Wednesday and SHFE 1703 copper will move at RMB 46,000-47,000/mt. In China’s domestic market, spot copper should trade at premiums of RMB 0-80/mt on Wednesday. The US dollar index rallied after hitting a two-day low on Tuesday, and is expected to remain range-bound.

ENERGIES

Oil edged up on Wednesday, lifted by reports of Saudi supply cuts to Asia, but prices were prevented from rising further over a lack of detail of these reductions and because of signs of rising supplies from other producers. Traders said that the price rises were a result of reports that Saudi Arabia, the world's top oil exporter, was telling some Asian customers that it will curb crude supplies slightly from contracted volumes in February, although Reuters was not able to confirm any details of the reductions.There were also doubts that the overall cuts would go deep enough to rebalance a market suffering from oversupply for the past two years. Both Brent and WTI futures are down around 6 percent since the start of the year. "Traders continued to fret about rising U.S. supply and compliance by OPEC to agreed-upon production cuts," ANZ bank said. 

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

Aluminium futures keep head above water - 10 Jan 2017

Commodity Intraday Tips

Aluminium futures keep head above water

Aluminium futures were trading higher during morning trade in the domestic market on Tuesday as participants build up fresh positions in the industrial  metal amid uptick in physical demand for aluminium at the domestic spot market.

Silver gains on strong global cues
 
Silver futures closed higher in the domestic market on Monday as participants raised their bets amid firming global trends.

Analysts attributed the rise in silver prices at futures trade to a firming trend in the precious metals overseas.

At the MCX, silver futures for March 2017 contract closed at Rs 40,680 per kg, up by 0.84 per cent, after opening at Rs 40,330, against a previous close of Rs

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 prices edged higher in Asia on Monday - 9 Jan 2017

Commodity Intraday Tips

PRECIOUS METALS

Gold prices edged higher in Asia on Monday as investors awaited a lineup of Fed speakers this week and the incoming president to set the tone and markets in Japan shout for a holiday. Gold for February delivery edged up 0.21% to $1,175.85 a troy ounce on the Comex division of the New York Mercantile Exchange. In the week ahead, investors will be looking ahead to U.S. economic reports, particularly Friday’s retail sales figures for December. Investors will also be watching an appearance by Fed Chair Janet Yellen on Thursday and speeches by a handful of other Fed officials during the week, as well as President-elect Donald Trump on Wednesday for a press conference. Last week, gold prices fell on Friday, retreating from the previous sessions one-month highs as the dollar strengthened against a currency basket after U.S. jobs data showed a slowdown in hiring in December but a pickup in wage growth.

BASE METALS

LME copper is expected to move at USD 5,540-5,620mt during Asian trading hours on Monday and SHFE 1703 copper will move at RMB 45,100-45,900/mt. In China’s domestic market, spot copper should trade at discounts of RMB 120-0/mt on Monday. Germany’s seasonally adjusted and annualized industrial output in November and trade data, China’s informal financing and annualized supply of M0, M1 and M2 in China and Eurozone January Sentix investor confidence index and November unemployment rate will be released today. Base metals will remain range-bound today.
Boston Fed Chairman will speak today at the Connecticut annual economic outlook meeting for the industry and commerce, and may give forward guidance to US economic outlook and monetary policy this year. The US dollar will strengthen, weighing on crude oil prices. Oil prices will rebound slightly now that OPEC countries fulfilled output cut plan.

ENERGIES

Crude prices were mixed in Asia on Monday with investors lauding compliance with a coordinated effort by OPEC and non-OPEC countries to trim 1.8 million barrels per day (bpd) from global crude markets, but noting a supply response from U.S. shale drillers and countries outside the pact.On the New York Mercantile Exchange, crude oil for delivery in February fell 0.48% to $53.73 a barrel. Elsewhere, on the ICE Futures Exchange in London, Brent oil for March delivery gained 0.12% to settle at $56.90 a barrel by close of trade. In the week ahead, investors will be looking ahead to U.S. economic reports, particularly Friday’s retail sales figures for December. Investors will also be watching an appearance by Fed Chair Janet Yellen on Thursday and speeches by a handful of other Fed officials during the week, as well as President-elect Donald Trump on Wednesday for a press conference.

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