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Showing posts with label Commodity Tips Provider. Show all posts
Showing posts with label Commodity Tips Provider. Show all posts

Monday, 15 October 2018


BULLION:-
There Gold prices inched higher early on Tuesday, hovering near a 2-1/2 month high hit in the previous session, as risk averse investors sought a safe haven amid rising political tensions and economic uncertainty. Spot gold was up 0.1 per cent at $1,227.76 an ounce at 0114 GMT. On Monday, it touched a peak of $1,233.26, the highest since July 26. Asian stocks bounced modestly on Tuesday, gaining a toe-hold after a week of heavy losses, although increasing tensions between Saudi Arabia and the West fanned geopolitical concerns and capped gains. The US government closed the 2018 fiscal year $779 billion in the red, its highest deficit in six years, as Republican-led tax cuts pinched revenues and expenses rose on a growing national debt, according to data released on Monday by the Treasury Department. 

METALS:-
London copper closed near its day lows at $6,253/mt on Monday as longs booked profits after the contract climbed to an intraday high of $6,342/mt. With bearish sentiment from weakness in the equity markets, longs booked profits after the SHFE 1811 contract crept to a high of 50,960 yuan/mt and hovered around the daily moving average. This dragged the contract down to close at a low of 50,480 yuan/mt overnight. The pessimistic sentiment, triggered by the equity rout, lingered and this slowed the growth in copper prices. However, China's robust exports in September and low stocks across LME, COMEX and SHFE warehouses could provide some support. On technicals, LME copper touched the 10-day moving average and its Bollinger bands appeared to converge; SHFE copper stood firmly above the five-day moving average. We expect LME copper to trade at $6,190-6,280/mt today with the SHFE 1811 contract at 50,500-51,000 yuan/mt. Spot prices are seen at discounts of 20 yuan/mt to premiums of 30 yuan/mt.

ENERGY:-

Oil prices rose on Tuesday on signs Iranian oil exports this month have fallen from September ahead of U.S. sanctions against Tehran that are set to start in November. Iran has exported 1.33 million barrels per day (bpd) to countries including India, China and Turkey in the first two weeks of October, according to Definitive Eikon data. That was down from 1.6 million bpd in September, the data showed. October exports are a sharp drop from the 2.5 million bpd exported in April before U.S. President Donald Trump withdrew from a multi-lateral nuclear deal with Iran in May and ordered the re-imposition of economic sanctions on the country, the third-largest producer among the members of the Organization of the Petroleum Exporting Countries (OPEC).


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Thursday, 11 October 2018


BULLION:-
Gold edged down on Friday but held near an over two-month high hit in the previous session, when prices surged over 2 percent as a rout in global stock markets boosted the metal's safe-haven appeal. Spot gold was down 0.2 percent at $1,221.06 an ounce at the time of writing. On Thursday, it jumped about 2.5 percent after marking its highest since July 31 at $1,226.27. That was also the metal's best one-day percentage gain since June 2016. U.S. gold futures were down 0.3 percent at $1,224.50 an ounce. Worries about the economic impact of the Sino-U.S. trade war, a spike in U.S. bond yields this week and caution ahead of earnings seasons have all been cited as potential reasons behind the selloff, the biggest market rout since February.

METALS:-
London aluminium steadied on Friday after metals were caught in a widespread market sell-off this week, but it was set for its biggest weekly drop since June as concerns over raw material costs eased. LME aluminium had edged up 0.3 percent to $2,027 a tonne at the time of writing - still holding above the $2,000 level that has been its base since April. Prices were on course for a loss of nearly 4 percent this week, extending 2018's drop to 11 percent. Putting downward pressure on raw material costs, aluminium maker Norsk Hydro said it would resume half production at its giant Brazilian alumina plant, just days after declaring it would shut down completely. Shanghai Futures Exchange copper rose half a percent to 50,450 yuan ($7,312) a tonne. Open interest in China's copper contract is the lowest in 15 months. U.S. President Donald Trump warned on Thursday there was much more he could do that would hurt China's economy further, showing no signs of backing off an escalating trade war with Beijing.  

ENERGY:-

Oil prices steadied on Friday after a market rout driven by sharp falls in equity markets and indications that supply concerns have been overblown, but were still on track for a fall or more than 4 percent for the week. U.S. West Texas Intermediate (WTI) crude futures were up 11 cents at $71.08 a barrel, after falling 3 percent in the previous session to the lowest since Sept. 21. U.S. crude inventories rose by 6 million barrels last week, the Energy Information Administration said, more than double analysts' expectations of a 2.6 million-barrel increase. The Organization of the Petroleum Exporting Countries cut its forecast of global demand growth for oil next year for a third straight month, citing headwinds facing the broader economy from trade disputes and volatile emerging markets. OPEC sees the oil market as well supplied and is wary of creating a glut next year, the group's secretary-general said on Thursday.


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Sunday, 7 October 2018


BULLION:-

Gold edged higher on Friday, on track for its biggest weekly gain in six, as the dollar softened after data showed U.S. job growth slowed more than expected last month and a slide in stock markets burnished the appeal of bullion as a safe haven. "The weaker-than-expected jobs data is supporting the overall current mood but the numbers were not disappointing enough to trigger fresh buying," said Heraeus precious metals trader Alexander Zumpfe. However, the Labor Department's monthly employment report also showed a steady rise in wages, suggesting moderate inflation pressures, which could allow the Federal Reserve to maintain a path of gradual interest rate increases. A weaker dollar makes bullion less expensive for buyers using other currencies. But rising interest rates increase the opportunity cost of holding bullion

METALS:-

Last week, LME fell after it gained 3% on Wednesday with resistance at the 40-day moving average and support at $12,000/mt. Stocks across LME inventories continued to decline but on a smaller scale. We expect LME nickel to hover around $12,600/mt today with the SHFE 1811 contract trading at 103,500-105,000 yuan/mt. Spot prices are seen at 103,500-110,000 yuan/mt. London copper lost 0.67% to end at $6,186.5/mt on Friday. SHFE copper faces pressure from a strong US dollar and firm US economy. The recent US-Mexico-Canada Agreement will also put China’s exports under pressure. China’s central bank, however, provided some support. The reserve requirement ratios (RRRs) cut of 100 basis points announced on Sunday is set to bolster the stock market and grow anticipation of investment growth in infrastructure construction in the fourth quarter of the year. We expect LME copper to trade at $6,140-6,210/mt today with the SHFE 1811 contract at 49,000-50,100 yuan/mt. Spot premiums are seen at 20-70 yuan/mt as traders might clean up their stocks and downstream consumers would restock after the week-long break.

ENERGY:-


Oil has rallied to trade near four-year highs on concerns that the looming U.S. restrictions on the Islamic republic will squeeze shipments and spur a global crunch at a time when supplies are already being disrupted in Venezuela and Libya. Investors remain concerned the Organization of Petroleum Exporting Countries and its allies aren’t raising output quickly enough and that they may not have the capacity to fully cover disappearing volumes. Brent for December settlement fell as much as 96 cents to $83.20 a barrel on the London-based ICE Futures Europe exchange and was at $83.30 at 10:28 a.m. in Singapore. The contract slipped 0.5 percent to $84.16 on Friday. The global benchmark crude traded at a $9.66 premium to U.S. West Texas Intermediate for the same month.

 


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Wednesday, 3 October 2018


BULLION:-

Gold eased on Wednesday after the Italian government indicated it was open to trimming its budget deficit and debt, soothing investors' nerves and prompting a wider move back into stocks and other higher-risk assets. Bullion was also pressured by a stronger dollar as economic data supported the view that the U.S. economy is strong. "With U.S. equities hitting record highs here, the stickiness in equity prices will continue and the dollar strength will continue to materialize with what the U.S. Federal Reserve is doing," said David Song, a currency analyst at DailyFX. A stronger greenback makes dollar-denominated gold more expensive for holders of other currencies, while rising interest rates increase the opportunity cost of holding non-yielding bullion.

METALS:-

Declining shorts pulled up the SHFE 1811 contract above the 20- and 10- day moving averages, to a high of 104,580 yuan/mt. The contract settled at 104,550 yuan/mt with capitals of some 213 million yuan flowing out of all SHFE nickel contracts. Open interests of the 1811 contract lost 20,000 lots to 184,000 lots. Data to watch tonight include the US August personal consumption expenditures (PCE) inflation, personal income and spending and September consumer confidence. The SHFE 1811 contract once fell below the 50,000 yuan/mt level with pressure at the five-day moving average. As shorts exited near closing, the contract inched up to an intraday high of 50,240 yuan/mt and settled at 50,170 yuan/mt. The October contract traded some 230 yuan/mt higher than the November one today. The SHFE will be closed tonight and reopen on Monday October 8 after the week-long National Day holiday. 

ENERGY:-

Oil prices on Thursday fell from four-year highs reached the previous session, pressured by rising U.S. inventories and after sources said Russia and Saudi Arabia struck a private deal in September to raise crude output. "Data for last week showed a much more significant than expected ... build in U.S. commercial crude (inventories), which generally suggests that oil prices should tumble," said Stephen Innes, head of trading for Asia-Pacific at futures brokerage Oanda in Singapore. U.S. weekly Midwest refinery utilization rates dropped to 78.9 percent, their lowest since October 2015, according to the data. U.S. crude oil production C-OUT-T-EIA remained at a record-high of 11.1 million barrels per day (bpd). Russia and Saudi Arabia struck a private deal in September to raise oil output to cool rising prices, Reuters reported on Wednesday, before consulting with other producers, including the rest of the Organization of the Petroleum Exporting Countries (OPEC). and Saudi Arabia's actions come as markets have heated up ahead of U.S. sanctions against Iran's oil sector, which are set to kick in from Nov. 4, and which many analysts expect to knock around 1.5 million bpd of supply out of markets.




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BULLION:-

Gold prices edged up on Wednesday after gaining over 1 percent in the previous session, buoyed by safe-haven demand as Italy’s budget plan sets it on course for a potential clash with the European Union. Risk appetite was hit after EU officials expressed concerns about Italy’s budget plan, which would widen the deficit significantly. The deficit blowout revived fears of the eurozone debt crisis and put pressure on the euro. Italy’s government has no intention of leaving the euro, Claudio Borghi, the economics spokesman of the right-wing League, said on Tuesday, clarifying earlier remarks which had roiled financial markets. Italy is totally committed to the euro and any critical comments about the single currency are individual opinions which have nothing to do with the government’s policies, Prime Minister Giuseppe Conte said on Tuesday. In other development, China’s hopes of negotiating a free trade pact with Canada or Mexico were dealt a sharp setback by a provision deep in the new U.S.- Mexico-Canada trade agreement that aims to forbid such deals with “non-market” countries, trade experts said on Tuesday. U.S. Federal Reserve Chairman Jerome Powell on Tuesday hailed a “remarkably positive outlook” for the U.S. economy that he feels is on the verge of a “historically rare” era of ultra-low unemployment and tame prices for the foreseeable future.  

METALS:-

Copper prices advanced on Wednesday as President Trump touted the renegotiated NAFTA deal between the US, Mexico, and Canada as "truly historic news for our nation and indeed for the world." Trump, who has long railed against NAFTA, said the new agreement will be a boon for the US economy. Trump said the new deal would be the "most balanced trade agreement in the history of our country with the most advanced protection for workers." Copper inventories in LME warehouses at 199,125 tonnes have nearly halved since late March and are at their lowest since December last year. Canceled warrants - material earmarked for delivery - at more than 50 percent of total LME stock and a concentration of warrants in the hands of a single entity is also worrying for users of the exchange. One party currently holds between 50 and 79 percent of copper warrants, data showed.  

ENERGY:-


Oil prices were firm on Wednesday on expectations of tighter markets once U.S. sanctions target Iran’s petroleum industry from next month, although a strong dollar and rising U.S. crude supply curbed gains. U.S. West Texas Intermediate (WTI) crude futures were up just 1 cent at $75.24 a barrel. Global oil markets remained tense because of the looming U.S. sanctions against Iran’s oil exports, which kick in from Nov. 4. Brent and WTI earlier this week both reached levels last seen in November 2014, and the two contracts have risen by around 20 and 17 percent respectively since mid-August. Despite this, prices were held back by a strong dollar which makes oil imports more expensive for countries using other currencies domestically, as well as by climbing supply in the United States. U.S. commercial crude inventories rose by 907,000 barrels in the week to Sept. 28 to 400.9 million, the private American Petroleum Institute (API) said on Tuesday.  


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Sunday, 30 September 2018


BULLION:-
 Gold prices dipped in the morning session, with the dollar holding steady after marking a near three-week high in the previous session in the wake of the U.S. Federal Reserve’s plans last week for multiple interest rate hikes by 2020. Spot gold was down 0.2 percent at $1,189.22 at the time of writing. The metal fell 0.8 percent in September, marking its sixth straight monthly decline and longest monthly losing streak since January 1997. On Friday, gold touched its lowest since Aug. 17 at $1,180.34 an ounce. U.S. gold futures were down 0.3 percent at $1,193.0 an ounce. The dollar index was steady against a basket of major currencies, having touched its highest since Sept. 10 in the previous session. The Fed raised interest rates last week and said it planned four more increases by the end of 2019 and another in 2020. U.S. consumer spending increased steadily in August, supporting expectations of solid economic growth in the third quarter, while a measure of underlying inflation remained at the Fed’s 2 percent target for a fourth straight month. China will cut import tariffs on textile products and metals, including steel products, to 8.4 percent from 11.5 percent, effective Nov. 1, the finance ministry said on Sunday.  

METALS:-
 London metal prices eased on Monday amid evidence that the Sino-U.S. trade dispute impacted China’s manufacturing activity last month and as a week-long holiday got underway in the country. Growth in China’s manufacturing sector sputtered in September as both external and domestic demand weakened, two surveys showed on Sunday, raising the pressure on policymakers as U.S. tariffs appear to be inflicting a heavier toll on the Chinese economy. A private survey showed growth in the factory sector stalled after 15 months of expansion, with export orders falling the fastest in over two years, while an official survey confirmed a further manufacturing weakening. London Metal Exchange copper had eased 0.3 percent to $6,242 a tonne by 0219 GMT, following a gain of 1.2 percent on Friday. Copper prices climbed 4.7 percent in September, the largest monthly gain in a year when prices have dropped a total of nearly 14 percent.  

ENERGY:-
Brent crude oil prices rose to their highest since November 2014 on Monday ahead of U.S. sanctions against Iran, the third-largest producer in the Organization of the Petroleum Exporting Countries (OPEC), that kick in next month. U.S. West Texas Intermediate (WTI) crude futures were up 32 cents, or 0.4 percent, at $73.57 a barrel. WTI prices were supported by a report on Friday of a stagnant rig count in the United States, which points to a slowdown in U.S. crude production, which now rivals top producers Russia and Saudi Arabia. Brent was pushed up by looming sanctions against Iran, which will start targeting its oil sector from Nov. 4. In a sign that the financial market is positioning itself for further price rises, hedge funds increased their bullish wagers on U.S. crude in the week to Sept. 25, data from the U.S. Commodity Futures Trading Commission (CFTC) showed on Friday, increasing futures and options positions in New York and London by 3,728 contracts to 346,566 during the period.  



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Thursday, 27 September 2018


BULLION:-

Gold prices edged up early on Thursday, supported as investors looked for bargains after the metal fell to a two-week low in the previous session following a U.S. interest rate hike. Spot gold had risen 0.2 percent to $1,196.21 an ounce at the time of writing. On Wednesday, the metal touched its lowest since Sept. 11 at $1,190.40 an ounce. U.S. gold futures were up 0.1 percent at $1,200.40 an ounce. Gold is sensitive to higher interest rates because they tend to boost the dollar, making bullion more expensive for buyers with other currencies. The dollar steadied against its peers early on Thursday as the small boost it received from the U.S. Federal Reserve interest rate hike faded, with a decline in U.S. Treasury yields reducing support for the greenback. In a statement that marked the end of the era of “accommodative” monetary policy, the Fed raised interest rates on Wednesday and left intact its plans to steadily tighten monetary policy, as it forecast that the U.S. economy would enjoy at least three more years of growth. 

METALS:-

The prices of base metals traded on the London Metal Exchange were mostly lower at the close of trading on Wednesday, with zinc being the only metal to trade positively amid continued bearish sentiment across the base metals complex. Copper fell for a third straight session on Wednesday as the dollar firmed ahead on the direction of U.S. interest rates hike. Benchmark copper on the London Metal Exchange edged down 0.4 percent to $6,264 per tonne at the time of writing. Persistent concerns over tit-for-tat trade tariffs between China and the United States are denting demand for risky assets, such as metals. The union at Alcoa’s aluminium operations in the state of Western Australia said it was meeting the company again on Wednesday to try to resolve a strike that has lasted more than six weeks, after the firm last week revised an earlier offer. Stocks in LME-monitored warehouses fell below a million tonnes for the first time since March 2008 on Wednesday, at 999,925 tonnes.

ENERGY:-


Oil prices rose by 1 percent on Thursday as investors focused on the prospect of tighter markets due to U.S. sanctions against major crude exporter Iran, which are set to be implemented in November. U.S. West Texas Intermediate (WTI) crude futures were at $72.41 a barrel, up 84 cents, or 1.2 percent from their last settlement. At its 2018 peak, Iran exported around 3 million barrels per day (bpd) of crude oil, equivalent to 3 percent of global consumption. Shipping data shows Iran September exports fell to around 2 million bpd as buyers around the world bow to U.S. pressure and cut imports. The Organization of the Petroleum Exporting Countries (OPEC) has little spare capacity to make up for an expected shortfall in Iranian exports. Reflecting expectations of lower supply from the Middle East, Oman crude futures on the Dubai Mercantile Exchange touched their highest in four years on Wednesday, briefly jumping above $90 a barrel. While global oil markets tighten, supply in the United States is ample, thanks to rising output.  



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Tuesday, 25 September 2018


BULLION:-

Gold prices nudged down early Wednesday on a firmer dollar, as investors waited for details of the U.S. Federal Reserve’s two-day meeting that should give clues whether policymakers will raise interest rates for the third time this year. Spot gold XAU= was down 0.1 percent at $1,200.18 at the time of writing. Investors await details from the two-day Federal Reserve meeting that began on Tuesday, with the U.S. central bank expected to raise benchmark interest rates and shed light on the path for future rate hikes. Higher U.S. interest rate typically pressure gold, since it costs to store and insure, but does not pay interest. U.S. consumer confidence surged to an 18-year high in September as households grew more upbeat about the labour market, pointing to sustained strength in the economy despite an increasingly bitter trade dispute between the United States and China. U.S. President Donald Trump’s top trade official said on Tuesday that changing China’s economic policies to become more market-oriented “is not going to be easy” even with tariffs now in place on $250 billion worth of Chinese goods.  

METALS:-

London copper fell for a third session in a row on Wednesday ahead of a widely expected U.S. interest rate hike and persistent worries over an escalating U.S.-China trade war. Fed funds rates futures implied traders are fully pricing in a rate hike on Wednesday, with an 85 percent chance the Fed will raise rates again in December. The Federal Reserve has already raised rates twice this year. Three-month copper on the London Metal Exchange was down 0.6 percent at $6,277.50 a tonne at the time of writing. On the Shanghai Futures Exchange, the most-traded November copper gained 0.6 percent to 50,500 yuan ($7,350) a tonne. With Wednesday’s rate hike expected, investor focus will be on the Fed’s policy statement and Chairman Jerome Powell’s press conference following the meeting. 

ENERGY:-

Brent oil edged further away from a four-year high on Wednesday and U.S. crude fell, after the U.S. said it would ensure crude markets are well supplied before sanctions are re-imposed on Iran and as President Donald Trump criticized high prices. Brent crude futures were down 43 cents, or 0.5 percent, at $81.44 a barrel at the time of writing, after gaining nearly 1 percent the previous session. Earlier on Tuesday, Brent hit its highest since November 2014 at $82.55 per barrel. U.S. crude futures were down 40 cents, or 0.6 percent at $71.88 a barrel. They rose 0.3 percent on Tuesday to close at their highest level since mid-July. However, Brent is on course for its fifth consecutive quarterly increase, the longest such stretch for the global benchmark since early 2007, when a six-quarter run led to a record-high of $147.50 a barrel.  



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Sunday, 23 September 2018


BULLION:-

Gold prices headed lower on Friday as a stronger dollar dented demand for the precious metal, but it was still on track for its first weekly climb in four as investors reentered their attention on the Federal Reserve. The fall in dollar this week came as safe-haven demand for the U.S. currency ebbed amid continued relief that fresh U.S. and Chinese tariffs on reciprocal imports were less harsh than originally feared. On Monday, the U.S. slapped tariffs of 10% on $200 billion in Chinese goods, before they rise to 25% by the end of 2018, rather than an outright 25%.The precious metal has dropped more than 10% from a peak in April as escalating U.S.-China trade dispute and rising U.S. interest rates were cited as catalysts for the selling in gold.

METALS:-

As longs aggressively added their positions, the SHFE 1811 contract jumped past 50,000 yuan/mt, a psychologically-significant level, to an intraday high of 50,020 yuan/mt before it edged down to close at 49,740 yuan/mt. Open interest for the October contract shrank 8,024 lots while that for January-March contracts grew 14,198 lots. The spread between October and November contract exceeded 300 yuan/mt. On the technical front, MACD red line extended further, suggesting an open upward track for the contract. The SHFE 1811 contract climbed past the 20-day moving average to 105,220 yuan/mt on a substantial buildup of long positions. The contract then reversed little gains and closed at 104,870 yuan/mt. On the technical front, KDJ lines expanded upwards and MACD red line lengthened.


ENERGY:-

Crude oil markets were all over the place on Friday, based upon a lot of different moving pieces. Not the least of which would have been a searching US dollar. The market does want to go higher but the US dollar strengthening based upon the noise and the United Kingdom has put more bearish pressure on this. Overall, I think that the market will be paying attention to quadruple witching during the session as well, so quite frankly I would pay more attention to the longer-term trend of going higher. The US dollar is the counterbalance, so pay attention to that. The $77.50 level underneath will be supported as well, but at this point I think that oil traders have decided that they want to go higher. If we break above the $80 level, it’s likely that we will then go to the $82.50 level next. Expect volatility regardless of what happens, so be very cautious about your position size going into this next couple of days.




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.


Saturday, 22 September 2018


BULLION:-

Gold prices edged up on Friday to a one-week high as the dollar weakened on receding fears of a full-blown Sino-U.S. trade war, keeping the yellow metal on track for its first weekly gain in four. "Higher gold prices are due to the fact that China-U.S. trade tensions have somewhat dissipated," OCBC analyst Barnabas Gan said. "Right now we have to tread very carefully on gold as any uptick in trade tension is bearish. U.S. tariffs should actually improve trade balance in the U.S and should give more strength to the dollar and push gold prices down." New U.S. and Chinese tariffs on each other's goods were set at lower rates this week than previously expected, raising hopes that hostilities between the world's two largest economies may be easing.

ENERGY:-

Oil prices rose on Friday ahead of a meeting of OPEC and other large crude exporters that will focus on production increases as U.S. sanctions restrict Iranian exports. OPEC and its allies are scheduled to gather in Algeria on Sunday to discuss how to allocate higher supply to offset the shortage of Iranian supplies. Brent is close to four-year highs, trading just below $80 a barrel, as investors bet that the Organization of the Petroleum Exporting Countries will be unable to compensate fully for the loss of oil from Iran, OPEC's third-biggest producer. But the meeting on Sunday is unlikely to be able to change production policy. Such a move would require OPEC to hold what it calls an "extraordinary meeting", which is not on the agenda. President Donald Trump increased pressure on OPEC on Thursday, calling on the organisation to "get prices down now!"



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.

Tuesday, 18 September 2018


BULLION:-

Gold The dollar index, which measures the greenback against a basket of six major currencies, was down 0.1 per cent. China and the United States plunged deeper into a trade war on Tuesday after Beijing added $60 billion of US products to its import tariff list in retaliation for President Donald Trump's planned levies on $200 billion worth of Chinese goods. Asian stocks rose and US Treasury yields hovered near four-month highs on Wednesday, as investors looked past the latest escalation in the US-China trade conflict, seen by some market participants as less severe than expected. The US Senate voted overwhelmingly on Tuesday to pass a mammoth spending package including $675 billion for the Defense Department and a measure to keep the entire federal government open until Dec. 7, a step toward avoiding a Sept. 30 shutdown. 

METALS:-

London copper led the gains overnight and settled 2.36% higher at $6,091/mt when eased market worries buoyed most base metals. It broke resistance at the 40-day moving average as shorts exited, and may test pressure above at the 60-day moving average in the short run. The SHFE 1811 contract also closed higher at 49,610 yuan/mt after rising to a high of 49,730 yuan/mt. Spot premiums will remain firm at 250-310 yuan/mt today.   Both LME nickel and the SHFE 1811 contract closed slightly higher as investors reduced concerns over the China-US trade war. Fresh US tariffs imposed on Chinese goods are expected to cause limited impact on the downstream stainless steel sector as China barely exports such products to the US. We expect LME nickel to consolidate around $12,300/mt today with the 1811 contract trading at 101,500-103,000 yuan/mt. Spot prices are set at 101,500-108,000 yuan/mt today. 

ENERGY:-

Oil prices on Wednesday pulled back from gains racked up the previous day, pushed down amid a surprise climb in U.S. crude stockpiles. U.S. West Texas Intermediate (WTI) crude CLc1 fell 0.20 percent, or 14 cents, to $69.71 a barrel. U.S. crude inventories rose by 1.2 million barrels to 397.1 million in the week to Sept. 14, according to data released on Tuesday by the American Petroleum Institute (API). That compared with analyst expectations for a decrease of 2.7 million barrels. Stockpiles of distillate fuels, which include diesel and heating oil, rose by 1.5 million barrels, the API data showed, compared with expectations for a 651,000-barrel gain. U.S. crude build temporarily grabbed trader attention," said Chen Kai, head of commodities research at broker Shengda Futures.



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.