commodity research report ways2capital 13 july 2015

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Gold scaled higher on Friday, further off a four-month low, as the dollar tumbled against the euro on signs of progress in Greece's efforts to secure fresh funding. Spot gold was up 0.2 per cent at $1,161.88 an ounce by 1029 GMT.

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  • MCX DAILY LEVELS

    DAILY EXPIRY DATE R4 R3 R2 R1 PP S1 S2 S3 S4

    ALUMINIUM 31 JUL 2015 108 107 106 105 104 103 102 101 100

    COPPER 31 AUG 2015 370 366 362 360 358 356 354 350 346

    CRUDE OIL 20 JUL 2015 3583 3513 3443 3398 3373 3328 3303 3233 3163

    GOLD 05 AUG 2015 26406

    26298 26190 26123 26082 26015 25974 25866 25758

    LEAD 31 JUL 2015 120 118 116 115 114 113 112 110 108

    NATURAL GAS 28 JUL 2015 180 178 176 175 174 173 172 170 168

    NICKEL 31 JUL 2015 788 767 746 733 725 712 704 683 662

    SILVER 04 SEP 2015 35924

    35754 35584 35478 35414 35308 35244 35074 34904

    ZINC 31 JUL 2015 133133

    131 129 128 127 126 125 123 121

    MCX WEEKLY LEVELS

    WEEKLY EXPIRY R4 R3 R2 R1 PP S1 S2 S3 S4

    ALUMINIUM 31 JUL 2015 31JUL

    120 115 110 108 105 103 100 95

    COPPER 31 AUG 2015 31AUG

    444 414 384 371 354 341 324 294

    CRUDE OIL 20 JUL 2015 20JUL

    4238 3947 3656 3504 3365 3213 3074 2783

    GOLD 05 AUG 2015 05AUG

    27613 27109 26605 26331 26101 25827 25597 25093

    LEAD 31 JUL 2015 31JUL

    136 128 120 117 112 109 104 96

    NATURAL GAS 28 JUL 2015 28JUL

    203 193 183 178 173 168 163 153

    NICKEL 31 JUL 2015 31JUL

    997 903 809 764 715 670 621 527

    SILVER 03 JUL 2015 04SEP

    42161 39852 37543 36457 35123 34148 32925 30616

  • NCDEX DAILY LEVELS

    DAILY EXPIRYDATE

    R4 R3 R2 R1 PP S1 S2 S3 S4

    SYOREFIDR 20 AUG 2015 595 590 585 583 580 578 575 570 565

    SYBEANIDR 20 AUG 2015 3632 3591 3550 3526 3509 3485 3468 3427 3386

    RMSEED 20 AUG 2015 4335 4291 4247 4225 4203 4181 4159 4115 4071

    JEERAUNJHA 20 AUG 2015 17296 17006 16716 16523 16426 16233 16136 15846 15556

    CHANA 20 AUG 2015 4780 4702 4624 4579 4546 4501 4468 4390 4312

    CASTORSEED 20 AUG 2015 4143 4101 4059 4033 4017 3991 3975 3933 3891

    NCDEX WEEKLY LEVELS

    WEEKLY EXPIRYDATE

    R4 R3 R2 R1 PP S1 S2 S3 S4

    SYOREFIDR 20 AUG 2015 627 610 593 587 576 570 559 542 525

    SYBEANIDR 20 AUG 2015 3908 3767 3626 3564 3485 3423 3344 3203 3062

    RMSEED 20 AUG 2015 4471 4377 4283 4243 4189 4149 4095 4001 3907

    JEERAUNJHA 20 AUG 2015 18910 18015 17120 16725 16225 15830 15330 14435 13540

    CHANA 20 AUG 2015 5284 5017 4750 4642 4483 4375 4216 3949 3682

    CASTORSEED 20 AUG 2015 4413 4284 4155 4081 4026 3952 3897 3768 3639

  • MCX - WEEKLY NEWS LETTERS

    INTERNATIONAL NEWS

    BULLIONGold scaled higher on Friday, further off a four-month low, as the dollar tumbled against theeuro on signs of progress in Greece's efforts to secure fresh funding. Spot gold was up 0.2 percent at $1,161.88 an ounce by 1029 GMT. Prices touched $1,146.75 on Wednesday, theirlowest since March 18, when the dollar was boosted by weakness in the euro on Greece and thetumble in Chinese stock markets.

    US gold for August delivery gained 0.2 per cent at $1,161.70 an ounce. The euro climbed 1.2per cent against the dollar, making dollar-denominated assets such as gold cheaper for buyersusing other currencies. "Gold is getting some support from the stronger euro but if we get a dealwith Greece on Sunday, it should be bearish for gold because it removes any risk," SocieteGenerale analyst Robin Bhar said. "The major driver is the U.S. because we have Yellenspeaking today and markets will be watching that for any clues about the rate hike." FederalReserve Chair Janet Yellen will speak on Friday on the U.S. economic outlook at 1630 GMT."No doubt, gold has been a profound disappointment for the bulls over the past few months ...tosee repeated rallies fizzle," INTL FCStone analyst Edward Meir wrote.

    Physical demand remained tepid this week as prospective investors in China chased bargains inequities after a market rout, while those in India delayed purchases. The metal in India was stillsold at a discount to the global benchmark. Chinese stocks rose sharply for a second day onFriday after Beijing moved to arrest a rout that pulled down key indexes by around 30 per centfrom mid-June, banning shareholders with large stakes in listed firms from selling. Also aidinggold, the International Monetary Fund trimmed its forecast for global economic growth thisyear to 3.3 per cent from a previous estimate of 3.5 per cent, citing recent weakness in theUnited States.

    Silver was up 0.5 per cent at $15.44 an ounce, palladium rose 1.7 per cent to $648.50 an ounceand platinum gained 1.4 per cent to $1,032.50 an ounce

    ENERGYCrude oil prices bounced on Thursday on strong economic data from Japan and Germany, andas Chinese shares picked up after the government launched new steps to halt a rout in its stockmarkets. Front-month US crude futures were up 80 cents at $52.45 a barrel by 0745 GMT, butwere still almost 8 percent lower than at the end of last week. Brent crude was 70 cents higherat $57.75 a barrel, though still 4 per cent below last Friday.Chinese stocks rallied on Thursdayafter the securities regulator banned shareholders with large stakes in listed firms from selling,in Beijing's most drastic step yet to stem a sell-off that has roiled global financial markets.

    Chinese police were investigating clues pointing to potentially "malicious" short-selling ofChinese shares, state news agency Xinhua said on Thursday. Demand for oil was also

  • supported by the return from maintenance of a 120,000 barrels per day crude crude distillationunit in Japan, where machinery orders hit a 7-year high in May. German exports rose at theirfastest pace this year in May, boosting expectations that Europe's largest economy would pulloff stronger growth in the second quarter after expanding modestly in the first. Traders saiddownward momentum in oil had been broken by two days of gains and sentiment was morepositive on Thursday. "Supports held after the sharp sell-off on Monday and these supportswere not seriously tested yesterday," said Tamas Varga, oil analyst at London brokerage . "Oil isbeing pressured on multiple fronts, and China's equity wobble, the prospect of Iran's re-entry tothe market and low liquidity all add up to an extremely fraught environment," said Ole Hansen,head of commodity strategy at Saxo Bank. A surprise increase in U.S. stockpiles despite thepeak-demand American summer driving season added to global oversupply as the Organizationof the Petroleum Exporting Countries and Russia produce at near-record levels.

    BASE METALCopper

    Copper futures edged higher 0.32 per cent to Rs 360.80 per kg amid positive Asian cues andpickup in spot demand at domestic markets. At the Multi Commodity Exchange, copper fordelivery in August rose Rs 1.15, or 0.32 per cent, to Rs 360.80 per kg, with a turnover of 1,219lots. The metal for delivery in November contracts edged up by 95 paise, or 0.26 per cent, at Rs367.20 in a volume of 11 lots ,The metal for delivery in November contracts edged up by 95paise, or 0.26 per cent, at Rs 367.20 in a volume of 11 lots. Globally, copper for Septemberdelivery climbed 0.3 per cent to 40,600 yuan (USD 6539) per tonne but at the London MetalExchange, the metal for delivery in three month fell 0.7 per cent to USD 5,590 per tonne.Globally, copper for September delivery climbed 0.3 per cent to 40,600 yuan (USD 6539) pertonne but at the London Metal Exchange, the metal for delivery in three month fell 0.7 per centto USD 5,590 per tonne. Market analysts attributed the rise in copper prices in futures trade to abetter trend in Asian trade and pickup in demand at domestic spot market.

    Zinc

    Zinc futures today edged up 0.63 per cent to Rs 128.40 per kg as participants enlarged positionsamid a firming trend overseas and better domestic demand. At the Multi Commodity Exchange,zinc for delivery in July rose by 80 paise, or 0.63 per cent, to Rs 128.40 per kg, with a businessturnover of 747 lots. Marketmen said improved demand at the spot market amid a firming trendin base metals overseas, mainly influenced zinc prices in futures trade here.The metal fordelivery in August also rose by 70 paise, or 0.55 per cent, to Rs 128.90 per kg in a businessvolume of 29 lots.

  • Nickel

    Taking positive cues from global market and rising demand from domestic alloy-makers, nickelfutures climbed 1.13 per cent to Rs 737 per kg today.At the Multi Commodity Exchange, nickelfor delivery in current month contracts rose by Rs 8.20, or 1.13 per cent, to Rs 737 per kg in abusiness turnover of 2,801 lots. Metal for delivery in August was also trading higher by Rs8.20, or 1.11 per cent, at Rs 744.30 per kg in 161 lots.Analysts said besides rising spot demand,a firming trend at the London Metal Exchange (LME), also boosted prices.Meanwhile, nickelfor delivery in three months at the LME rose 0.7 per cent to USD 11,580 per tonne. The metalrose 4.9 per cent yesterday, posting the biggest two-day rally since 2012.

    NCDEX - WEEKLY NEWS LETTERS

    FMC reduces trading time

    Commodity derivatives markets regulator Forward Markets Commission (FMC) has reducedthe trading time of the evening session in agricultural commodities by two hours and de-listedfour contracts from the evening session owing to the lack of liquidity.

    With this, the trading time of the evening session in agricultural commodities ends at 9:00 pmcompared with 11:00 pm earlier in normal days. The closing time during US daylight savingperiod has been advanced to 9.30 pm from 11.35 pm earlier.

    Mansoon Update

    Maharashtra, which ranks second in soyabean and cotton production, is giving artificial rainfallanother shot in an attempt to save crops, 13 years after a similar experiment failed. Amidworries that a dry spell may force re-sowing to take place, the state government has shortlisteda private agency for cloud seeding to generate artificial rainfall during August to October.About 80 per cent of the state's cultivable land depends on rainfall. The government wants toensure that kharif crops get at least one life-saving rainfall in those key months and is hopingthat advances in artificial rainfall will help. The state government is already assessing thepossibility of re-sowing in large parts of western Maharashtra, Khandesh and parts ofMarathwada and Vidarbha. "The situation is worrisome in these parts as there has been no rainfor more than 15 days," said a top official of the state's agriculture department. Another highlevel official from Mantralaya, the state government's administrative headquarters in Mumbai,said that in all probability, artificial rainfall will be required in the near future. "We will docloud seeding as an experiment. As the process requires large number of no objectioncertificates from various government agencies, we have started preparations in order to keepourselves ready for any emergency in August-September," the official said.

  • Nearly 37 per cent sowing of various kharif crops, including oilseeds and pulses, has beencompleted in Chhattisgarh in the ongoing crop season. "Farmers have completed sowing ofkharif crops on around 13.88 lakh hectares of land against the proposed target of 48.20 lakhhectares in the state," an official statement said today. The Bilaspur division is leading the chartwith 37 per cent of the average sowing completed in its five districts, followed by Raipurdivision (35 per cent), Bastar (20 per cent) and Surguja division (12 per cent), it said. Notably,the Chhattisgarh Agriculture Department has set the target of cultivating cereals, pulses, oilseeds and other crops on an area of 48.20 lakh hectares in the current kharif season. The targethas been set to grow paddy on 36.45 lakh hectares, corn on 2.25 lakh hectares, pulses on 3.79lakh hectares and oilseeds on 3.44 lakh hectares.Moreover, an amount of Rs 1,356.61 crore hasbeen distributed to over 4.51 lakh farmers during the current kharif season by the ChhattisgarhPrimary Agriculture Co-Operative Samitis.

    Refined soya oil

    Refined soya oil prices were traded higher 0.78 per cent to Rs 564.30 per 10 kg in futurestrading on thursday as speculators enlarged positions, supported by pickup in demand at thespot market.At the National Commodity and Derivatives Exchange, refined soya oil fordelivery in October moved up by Rs 4.35, or 0.78 per cent to Rs 564.30 per 10 kg with an openinterest of 84,565 lots.Similarly, the oil for delivery in August contracts gained Rs 3.60, or 0.63per cent to Rs 576.50 per 10 kg in 1,95,110 lots.Rise in refined soya oil futures to pickup indemand at the spot market against restricted supplies from producing belts.

    Chana

    Amid profit-booking by speculators at prevailing levels and easing demand at spot market,chanaprices were down by 0.21 per cent to Rs 4,334 per quintal in futures market on Thursdaywhere as on Wednesday Chanapricesrose by 2% to Rs 4,282 per quintal in futures trade todayamid pickup in demand at the spot market and restricted arrivals from producing belts.OnFriday At the National Commodity and Derivative Exchange, chana for delivery in July montheased by Rs 9, or 0.21 per cent to Rs 4,334 per quintal with an open interest of 13,040lots.Also, the commodity for delivery in August contracts shed Rs 5, or 0.11 per cent to Rs4,463 per quintal in 1,85,540 lots.Where as on wednesdaychana for delivery in July shot up byRs 84, or 2% to Rs 4,282 per quintal with an open interest of 28,360 lots.Similarly, thecommodity for delivery in August contracts traded higher by Rs 58, or 1.33% to Rs 4,404 perquintal in 1,88,990 lots.Besides profit-booking by speculators at existing levels, fall in demandin the spot market against adequate stock position mainly kept pressure on chana prices.

  • Costorseed

    Domestic commodity markets are currently trading on a dull note in the morning tradingsession where at the Multi Commodity Exchange (MCX); all of the four indices are tradinglower. Castorseed prices rose by 0.15 per cent on Monday at the National Commodity &Derivatives Exchange Limited (NCDEX) as a result of the rise in demand from consumingindustries against restricted arrivals in domestic markets which in turn encouraged the investorsto enlarge their holdings.

  • LEGAL DISCLAIMER

    This Document has been prepared by Ways2Capital (A Division of High Brow MarketResearch Investment Advisor Pvt Ltd). The information, analysis and estimates containedherein are based on Ways2Capital Equity/Commodities Research assessment and have beenobtained from sources believed to be reliable. This document is meant for the use of theintended recipient only. This document, at best, represents Ways2Capital Equity/CommoditiesResearch opinion and is meant for general information only. Ways2CapitalEquity/Commodities Research, its directors, officers or employees shall not in any way to beresponsible for the contents stated herein. Ways2Capital Equity/Commodities Researchexpressly disclaims any and all liabilities that may arise from information, errors or omissionsin this connection. This document is not to be considered as an offer to sell or a solicitation tobuy any securities or commodities.

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