Nivesh Commodity. Daily Change & Technical levels. Comex Division. 6 th October, Bullions (Spot) Last close % change

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1 Nivesh Commodity 6 th October, 2016 Daily Change & Technical levels Base Metal Inventory Scrip Inventory Change Copper Nickel Lead Zinc Alumni Gold Lease Rates 1 m % m % m % m % y % Scrip Close % Change R1 R2 PIVOT S2 S1 GOLD SILVER CRUDE NG COPPER NICKEL LEAD ZINC ALUMINIUM Comex Division Bullions (Spot) Last close % change Gold $ Silver $ * According to 4 OCT, Ankit Kapoor Sr. Research Analyst Mobile: Tel: ankit.kapoor@indianivesh.in 1

2 BULLION Gold prices gain in Asia after ADP jobs report misses expectations Gold posted mild gains in Asia on Thursday with a private U.S. nonfarm jobs report coming in weaker than expected, setting the satge for offical data from the U.S. Department of Labor at the end of the week seen as crucial to Fed rate hike chances in December. Markets in China are shut for the week. Overnight, gold prices turned lower during North America's session on Wednesday, reversing overnight gains after data showed that the U.S. services sector accelerated in September to the fastest level in 11 months. The Institute of Supply Management said its non-manufacturing purchasing managers index rose to 57.1 last month from 51.4 in August. Analysts had expected the index to increase to That came after a separate report showed that U.S. non-farm private employment rose much less than expected in September. Payroll processing firm ADP said non-farm private employment rose by 154,000 last month, below forecasts for an increase of 166,000. The economy created 175,000 jobs in August, whose figure was downwardly revised from a previously reported increase of 177,000. On Tuesday, prices plunged $43.00, or 3.28%, its biggest one-day percentage drop since September 2013, as the U.S. dollar climbed to a two-month high amid indications the Fed is getting closer to raising interest rates. Gold and silver settled on MCX division at and respectively. Today, Gold has support at and resistance at while Silver has support at and resistance at Traders can trade in a range with strict stop loss and wait for confirmation 2

3 ENERGY Oil prices dip after reaching June highs on U.S. crude stock draw Oil prices eased on Thursday but remained near June highs reached the previous session when they were buoyed by a fall in U.S. crude inventories. Traders said the price dips early on Thursday were largely a result of profit-taking following strong price rises the day before. Both contracts hit their highest levels since June on Wednesday after the U.S. Energy Information Administration (EIA) said crude stockpiles fell 3 million barrels last week to million barrels, and as international oil markets prepared for a planned output cut by the Organization of the Petroleum Exporting Countries (OPEC). "Another week another surprise drawdown in crude inventories by the EIA... Although crude in storage remains at record highs, this is the third week of unexpected drawdown in a row," said Jeffrey Halley, senior market analyst at brokerage OANDA in Singapore. He added that WTI prices would likely be "eyeing the psychological $50" soon, although there was the downside risk of shale drillers putting rigs back into operation which was mothballed at lower prices. Other analysts said that overall market conditions pointed to slightly higher prices, largely due to the planned OPEC cut, but also due to the risk of forced disruptions. "All in all, oil prices seem headed for higher levels in the coming period," Global Risk Management said in its quarterly report published this week. It pointed to the risk of "several oil producing countries struggling to increase or even keep production at current levels due to unrest/oil facility wreckages and lack of industry investments". Despite this, most analysts do not expect prices to shoot up much further as production will remain high even with an OPEC cut, and plenty of fuel remains in stock. "Resilient production in the U.S. and Russia will postpone crude market rebalancing and keep the market in surplus into 2017," BMI Research said in a note to clients, even cutting its price forecast for next year. Crude oil settled on MCX division at 3321 Crude oil has support at and resistance at 3330 Traders can trade in a range with strict stop loss and wait for confirmation 3

4 BASE METAL Copper trades flat on demand worries, lower stockpiles Copper traded flat in late morning session Wednesday on muted demand from top consumer China following week long holiday and on lower stockpiles of metal on London Metal Exchange (LME) warehouses. Base metal prices were also down trading sideways to lower in thin trades today. Volumes are low as Chinese markets are closed for week long holiday on account of National Day. Trading will resume on Monday, October 10. China is the world's largest consumer of copper accounting for about 40% of total global demand and major consumer of other industrial metals. Further putting pressure on prices is lingering worries over global economic health and mixed trend in global equity markets. Denting sentiments, International Monetary Fund (IMF) yesterday maintained its forecast for weak growth at 3.1% from 3.2% in However, sharp fall in the base metals was cushioned by lower stockpiles of metal on LME, indicating tight supply situation. Copper stockpiles slipped by 3,475 tons to 365,050 tons, aluminium inventories dropped by 6,400 tons to 2.14 million tons and nickel stockpiles dropped by 906 tons to 360,558 tons, LME data showed today. Copper Settled in MCX division at Copper has support at 321 and resistance at 324. Close below 321 will take to else it could test its resistance level of 324 again. Trade with levels only 4

5 AGRI COMMODITY Soybean fluctuates on higher supply hope, robust demand Soybean fluctuated in afternoon trades Wednesday on hope of higher yield in global market and on strong demand in export market. Crop progress report published by United States Department of Agriculture (USDA) on Oct 2, showed that around 26% of the crops have been harvested compared to 36% last year and 27% in the prior 5-year average. Moreover, US farmers have finished harvesting 26% of the soybean crop, sharply higher than 10% a week ago and near the five-year average pace of 27%, the US Department of Agriculture (USDA) said. According to Anec, 2017 exports seen topping 53 million tons as crop is seen rising. The output seen above 100 million tons in seasons. However, sharp fall in the bean prices was cushioned by higher demand in export data. Prices of the yellow bean were up after on Friday, USDA said that soybean stocks on Sep 1 totaled 197 million bushels which is at a five-year high level for the date but below analysts' average estimate of 201 million bushels. Bean prices were also supported by higher demand for United States soybean following robust export sales data. The US Department of Agriculture (USDA) said net soybean sales for the week ended Sep 22 totaled nearly 1.7 million tons, which beat analyst expectations for one to 1.4 million tons. Prices of the bean were also supported by hope improvement in US export demand. Argentina the third largest producer of soybean is going to keep soybean export tax at 30% unchanged from last year. This might boost soybean export demand in US limiting any major decline in the prices in near term. Soyabean settled on NCDEX division at 3239 Soyabean has support at and resistance at Trades can trade in a range with strict stop loss and wait for confirmation 5

6 News Source: Investing.com and News Wire IndiaNivesh Commodities Private Limited 601 & 602, Sukh Sagar, N. S. Patkar Marg, Girgaum Chowpatty, Mumbai Tel: (022) / Fax: (022) ankit.kapoor@indianivesh.in Website: Disclaimer: This document has been prepared by IndiaNivesh Commodities Private Limited (IndiaNivesh), for use by the recipient as information only and is not for circulation or public distribution. This document is not to be reproduced, copied, redistributed or published or made available to others, in whole or in part without prior permission from us. This document is not to be construed as an offer to sell or the solicitation of an offer to buy any commodity. Recipients of this document should be aware that past performance is not necessarily a guide for future performance and price and value of investments can go up or down. The suitability or otherwise of any investments will depend upon the recipients particular circumstances. The information contained in this document has been obtained from sources that are considered as reliable though its accuracy or completeness has not been verified by IndiaNivesh independently and cannot be guaranteed. Neither IndiaNivesh nor any of its affiliates, its directors or its employees accepts any responsibility or whatever nature for the information, statements and opinion given, made available or expressed herein or for any omission or for any liability arising from the use of this document. Opinions expressed are our current opinions as of the date appearing on this material only. IndiaNivesh directors and its clients may have holdings in the commodity and currencies mentioned in the report. To unsubscribe please send a mail to ankit.kapoor@indianivesh.in 6