Gold- Brexit creates high volatility across financial markets. Spot gold to trade higher on account of uncertainty.

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1 Content Overview Precious Metals Energy Base Metals Important Events for today Gist of the report Gold- Brexit creates high volatility across financial markets. Spot gold to trade higher on account of uncertainty. Silver- Silver will follow the suit in with rise in gold prices. Silver trading flat today in international markets. Crude oil- Crude oil continues to trade lower, volatility remains. Copper- Copper prices lower today by 0.4 percent, reeling under the pressure of Brexit For more information, please read the full report

2 Overview After reacting negatively on the surprise vote out of Britain from the European Union, emerging markets have now revived and are trading higher given the region's limited dependence on Europe. Markets in the last week traded in a volatile manner as investors kept speculating whether or not Britain will leave EU. All the polls and initial vote count showed a major lead in remain camp. However, the tables turned on Friday when the Leave camp won by 51.9 percent. This prompted the traders to place fresh bets in safe-haven DX which saw a rise of 2 percent in the last week. However, investors believe that given the latest event that has caused jitters and uncertainty in the markets, the US Feds ambitions for two rate rises this year may be placed on hold. US Dollar Index made an intraday high of and closed at on Friday. The Indian Rupee depreciated by 0.5 percent in the last week. This was mainly due to strength seen in the US Dollar Index which saw a major incline given the recent Brexit event. Moreover, sustained selling of the American currency by importers and banks amid higher dollar in the overseas markets dragged the currency further lower. Domestic markets i.e. Sensex and Nifty ended on a negative note owing to the final showdown in seen in the EU Referendum where the Britains voted to leave the European Union. This prompted the traders to make risk-free bets. For the month of June 2016, FII inflows in equities totaled at Rs crores ($ million) as on 22nd June, Year to date basis, net capital outflows stood at Rs crores ($ million) as on 22nd June, News & developments China s working population is shrinking Despite its sputtering economy - or perhaps because of it - China's labour market may be able to provide more jobs for laid off workers than many think. Market Highlights (% change) as on June 24, 2016 INDICES LAST CHANGE WOW MOM YOY INR/$ (Spot) Euro/$ (Spot) Dollar Index NIFTY SENSEX DJIA S&P France and Germany 'in agreement' over UK's EU exit German Chancellor Angela Merkel and French President Francois Hollande have said they are in "full agreement" on how to handle the fallout from the UK's decision to leave the European Union. Mr Hollande warned that "separated, we run the risk of divisions, dissension and quarrels". The two will hold talks later in Berlin amid a flurry of diplomatic activity in the wake of so-called "Brexit". The pound fell further in early trading in Asia on Monday as markets reacted. Speaking on Sunday, Mr Hollande said there was no going back on the UK's decision, adding: "What was once unthinkable has become irreversible." Chancellor Merkel is to host President Hollande, Italian Prime Minister Matteo Renzi and European Council President Donald Tusk later on Monday. US Secretary of State John Kerry is also due in London and Brussels for talks. (BBC) The working age population is shrinking by several million each year and the number of workers willing to migrate beyond their home province is falling, leaving jobs available for those willing to travel. This suggests concerns about mass unemployment as China cuts down its industrial capacity and the risk that this could lead to social unrest may be overdone. (Reuters)

3 Bullion Gold Last week spot gold prices rose by 2 percent to close at $ per ounce. Over the week, prices fell to a two-week low as the last sweep of opinion polls before Britain's referendum on EU membership began gave the campaign to stay in the bloc a slight edge. Polls by ComRes, conducted for the Daily Mail newspaper and ITV television, and by YouGov for The Times newspaper in London, showed a last-minute rise in support for Britain to remain in the EU. Holdings in the SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, rose to the highest since September 2013, on Wednesday. Bullion extended losses after U.S. Federal Reserve Chair Janet Yellen said global risks and a U.S. hiring slowdown warrant a cautious approach to raising interest rates. However, surprising results from Brexit that it will leave the EU block led the rally in gold prices last week. On the MCX, gold prices rose by 2.3 percent to close at Rs per 10 gms last week. Silver Last week spot silver prices rose by 1.2 percent to close at $17.7 per barrel. The rise in silver prices is in line with rise in gold prices and weakening dollar index. ON the MCX, silver prices rose by 2 percent to close at Rs per kg. Outlook The outcome of Britain's referendum which has decided to leave the EU bloc could influence the U.S. Federal Reserve's decision to lift interest rates in this year. Rising investment demand as seen in the inflows in the SPDR gold trust will also act as a positive factor for yellow metal On the MCX, gold prices are expected to trade higher today as international markets are trading higher by 0.67 percent at $ per ounce. Technical Outlook valid for June 27, 2016 COMMODITY SUPPORT RESISTANCE SPOT GOLD ($/OZ) 1319/ /1338 Market Highlights - Gold (% change) as on June 24, 2016 GOLD(SPOT) GOLD (SPOT - MUMBAI) COMEX(AUG 16) MCX(AUG 16) (Comex, Gold spot in $ per ounce, MCX, Gold spot Mumbai in Rs/10 gms) Market Highlights - Silver (% change) as on June 24, 2016 SILVER(SPOT) SILVER (SPOT - MUMBAI) COMEX(JULY 16) MCX (JULY 16) (Comex in $ per ounce, MCX, Silver spot in Rs/kg) MCX Gold Spread Chart Daily MAUc2, MAUc1 Spread, MAUc2, , MCX Silver Spread Chart (BOM) INR TOLAS Daily MSVc2, MSVc1 Spread, MSVc2, , (BOM) INR Kg MCX GOLD AUG 16 (Rs/10GMS) 31250/ /31700 NCDEX GOLD HEDGE JULY 16 (Rs/KG) 28939/ /29350 SPOT SILVER ($/OZ) 17.50/ /17.90 MCX SILVER JULY 16 (Rs/KG) 41900/ /43000 NCDEX SILVER HEDGE JUNE 16 (Rs/kg) 38645/ /39745

4 International Commodity Daily Reports Energy Crude Oil WTI oil prices declined by 3.5percent last week to close at $47.6 per barrel. WTI oil prices rose by 2 percent on Thursday to close at $50.1 per barrel with Brent crude rising above $51 a barrel after a YouGov poll showed the "remain" camp ahead in Britain's referendum on European Union membership. Crude prices had settled 2 percent higher after a volatile session, with investors less worried about prospects for the global economy on the growing view that Britain would remain in the EU. The world's largest oil exporter and OPEC heavyweight produced million bpd in April, compared with million bpd a month earlier, the data showed. Potentially adding to supply, Iran has increased its crude exports capacity at its main terminal on Kharg Island to allow eight tankers to load simultaneously. Brexit referendum came out with Britain leaving the EU which resulted in the fall in oil prices last Friday by more than 6 percent.on the MCX, oil prices declined by 1.4 percent to close at Rs.3266 per barrel. EIA Oil Inventory Crude inventories fell 917,000 barrels in the week ended June 17Gasoline stocks rose 627,000 barrels. Distillate stockpiles, which include diesel and heating oil, rose 151,000 barrels API inventory update Crude inventories fell by 5.2 million barrels for the week ended June 17, the American Petroleum Institute (API) said. The trade group's figures were triple the draw of 1.7 million barrels forecast by analysts in a Reuters poll. Outlook On an intraday basis, we expect oil prices to trade lower as international markets are down by more than 0.6 percent. The Brexit referendum is creating high volatility across financial markets as Britain has decided to leave the EU bloc. Market Highlights - Crude Oil (% change) as on June 24, 2016 BRENT (SPOT) NYMEX CRUDE (JUL 16) ICE BRENT CRUDE (AUG 16) MCX CRUDE (JULY 16) (Brent & NYMEX Crude in $ per ounce, MCX Crude in Rs/bbl) Market Highlights - Natural Gas (% change) as on June 24, 2016 NYMEX NG MCX NG (JUNE 16) (NYMEX NG in $/MMbtu, MCX NG in Rs/MMBtu WTI Crude Oil Spread Chart Daily /CLc2, /CLc1 Spread, /CLc2, , 0.69 MCX Crude Spread Chart (NYC) USD Bbl Daily MCGBQ6, MCGBN6 Spread, MCGBQ6, , (BOM) INR Bbl On the MCX, oil prices are expected to trade lower today. Technical Outlook valid for June 27, 2016 COMMODITY SUPPORT RESISTANCE NYMEX CRUDE OIL ($/BBL) 46.45/ /49.20 MCX CRUDE JULY 16 (RS/BBL) 3200/ /3390 NCDEX CRUDE JULY 16 (RS.BBL) 3345/ /3535

5 International Commodity Daily Reports Base Metals LME base metals traded mixed last week as last polls ahead of the EU referendum suggested the country was increasingly likely to remain an EU member. Copper LME Copper prices gained the most among base metals, by 1.2 percent last week to close at $4698 per tonne owing to high anticipation that the Britons will vote "REMAIN" in the EU. Further, bets for fewer rate hikes in the US rose after the International Monetary Fund cut its forecast for U.S. growth this year to 2.2 percent from 2.4 percent in April, adding that Fed should proceed on a "very gradual" path in raising its benchmark rate. MCX copper prices traded higher by 1.5 percent to close at Rs per kg. Outlook LME Copper prices are currently trading lower by 0.4 percent as markets are still under pressure after the shocking result of BREXIT in the latest EU referendum. The unexpected decision however, led FED funds futures to drop to 15 percent on June 24 from 50 percent the day before. We expect MCX Copper prices to trade lower today. Technical Outlook valid for June 27, 2016 COMMODITY (RS/KG) SUPPORT RESISTANCE MCX COPPER JUNE / /323 MCX ZINC JUNE / /139 MCX LEAD JUNE / /118 Market Highlights Base Metals (% change) as on June 24, 2016 COMMODITY LAT CHANGE WOW MOM YOY LME Copper (3 month) MCX Copper (June 16) LME Aluminum(3 month) MCX Aluminum (June 16) LME Nickel(3 month) MCX Nickel (June 16) LME Lead(3 month) MCX Lead (June 16) LME Zinc(3 month) MCX Zinc (June 16) LME Inventories in tonnes COMMODITY LAST CHANGE WOW %CHG Copper % ALUMINIUM % NICKEL % ZINC % LEAD % MCX Copper Spread Chart Daily MCCc2, MCCc1 Spread, MCCc2, , (BOM) INR Kg MCX ALUMINUM JUNE / /111 MCX NICKEL JUNE / /625

6 Economic indicators to be released on June 27, 2016 Indicator Country Time (IST) Actual Forecast Previous Impact M3 Money Supply y/y Euro 1:30pm - 4.8% 4.8% Medium ECB President Draghi Speaks Euro 11:00pm High Research Team Prathamesh Mallya Sr. Research Analyst (Non-Agro Commodities & Currency) prathamesh.mallya@angelbroking.com (022) Extn :6134 Kaynat Chainwala Research Analyst kaynat.chainwala@angelbroking.com (022) Extn :6136 Angel Commodities Broking Pvt. Ltd. Registered Office: G-1, Ackruti Trade Centre, Rd. No. 7, MIDC, Andheri (E), Mumbai Corporate Office: 6th Floor, Ackruti Star, MIDC, Andheri (E), Mumbai Tel: (022) MCX Member ID: / FMC Regn No: MCX / TCM / CORP / 0037 NCDEX: Member ID / FMC Regn No: NCDEX / TCM / CORP / 0302 Disclaimer: The information and opinions contained in the document have been compiled from sources believed to be reliable. The company does not warrant its accuracy, completeness and correctness. The document is not, and should not be construed as an offer to sell or solicitation to buy any commodities. This document may not be reproduced, distributed or published, in whole or in part, by any recipient hereof for any purpose without prior permission from Angel Commodities Broking (P) Ltd. Your feedback is appreciated on commodities@angelbroking.com