Silver trading range for the day is 40464-41756. Silver settled flat as weak economic data out of China released over the weekend added to concerns over the health of the world’s second largest economy. Two Fed officials said the central bank should raise rates if data points to an improving economy. Traders reassessed their expectations for the timing of the next U.S. rate hike following the release of better than expected U.S. retail sales data. In the week ahead, market players will be turning their attention to Wednesday’s minutes of Fed’s April policy meeting for fresh clues.
Crude oil trading range for the day is 3090-3238.Crude oil prices gains after Goldman Sachs said the market had ended almost two years of oversupply following global oil disruptions and flipped to a deficit. In the United States, crude production has fallen to 8.8 million bpd, 8.4 percent below 2015 peaks as the sector suffers a wave of bankruptcies. In China, crude oil output fell in April by 5.6% on the year to 4.04 million bpd, or 16.59 million metric tons, the lowest level since February 2015.OPEC kept its forecasts for global supply and demand unchanged in its May report, with oil producers scheduled to hold the next meeting on June 2.
Copper trading range for the day is 307.1-315.9.Copper edged higher after an improvement in Chinas property sector offset several softer gauges of Chinas economy that had rattled investors over the demand. Industrial production rose at an annualized rate of 6.0% in April, below expectations for a 6.5% increase, the General Administration of Customs said. Hedge funds and money managers switched to a net short position in copper futures and options in the week to May 10, U.S. CFTC data showed. Warehouse stock for Copper at LME was at 159025mt that is up by 2350mt.
Zinc trading range for the day is 124.4-127.8.Zinc recovered from lows on short covering but the upside was capped as data from Chinas manufacturing sector dampened hopes of stronger demand. The soft data followed disappointing Chinese trade and inflation figures last week, adding to doubts about whether the world’s second-largest economy is stabilizing. Zinc daily stocks at Shanghai exchange came up by 247 tonnes. Warehouse stock for Zinc at LME was at 390050mt that is down by -325mt.
Nickel trading range for the day is 572.3-595.7. Nickel prices gained led by a recovery in crude prices and optimism over global growth prospects after company earnings boosted stocks. Taking the shine off the market, however, was Chinese data showing that factory output grew at 6 percent on an annual basis in April Nickel daily stocks at Shanghai exchange came up by 1529 tonnes. Warehouse stock for Nickel at LME was at 406464mt that is down by -5880mt.
Soyabean trading range for the day is 3966-4062.Soyabean gained amid supply worries in domestic market after IMD reported that monsoon over Kerala is likely to be delayed by six days. Prices were also supported after bean imports by China, jumped 33% in April to 7.07 million tons on year and 15.9% higher on month. NCDEX accredited warehouses soyabean stocks dropped by 949 tonnes to 46642 tonnes. At the Indore spot market in top producer MP, soybean dropped -2 rupee to 4087 rupee per 100 kgs.
Jeera trading range for the day is 16085-16985.Jeera prices ended with losses as jeera output in Gujarat during 2015-16 is projected to be higher. However downside seen limited as demand seems to increasing as arrivals are diminishing. NCDEX accredited warehouses jeera stocks gained by 14 tonnes to 4101 tonnes. In Unjha, a key spot market in Gujarat, jeera edged down by -110.65 rupees to end at 16966 rupee per 100 kg.
Turmeric trading range for the day is 7968-8208.Turmeric prices dropped on anticipation of good sowing in next season on forecast of good rains at the producing belts. Turmeric arrivals in the main producing centers like Nizamabad, Erode, Duggirala have been declining as farmers are holding the stocks. NCDEX accredited warehouses turmeric stocks gained by 80 tonnes to 4630 tonnes. In Nizamabad, a major spot market in AP, the price ended at 8712.5 rupees remains unchanged at0 rupees.
Chana trading range for the day is 5770-5964.Chana prices ended with gains on account of higher demand in the spot market. Further, expectations of limited supplies due to lower output from the major producing belts, added support to prices. According to government sources, Government agencies have procured around 62,000 tonnes of pulses which includes 11,754.06 tonnes of Chana In Delhi spot market, chana gained by 112.15 rupee to end at 5928.4 rupee per 100 kgs.
Mentha oil trading range for the day is 859.8-879.8.Mentha oil spot at Sambhal closed at 1004.40 per 1kg. Spot prices is up by Rs.5.20-.Mentha oil prices remained supported on the back of rising demand from consuming industries at the spot market. Further, tight stocks position following restricted arrivals from major producing belts of Chandausi in Uttar Pradesh also added support. The preliminary mandi source suggests that production of menthol is likely to be around 34-35000 tonnes during 2016-17
Naturalgas trading range for the day is 132.6-142.4.Natural gas slumped by -3.75% after the latest weather model called for mild temperatures over the next two weeks. Prices have closely tracked weather forecasts in recent weeks, as traders try to gauge the impact of shifting outlooks on spring heating demand. Total natural gas storage stood at 2.681tcf as of last week, according to the US EIA. Production from the major shale plays remaining strong and the commodity’s demand failing to keep pace with this supply surge, natural gas prices have been held back.
Aluminium trading range for the day is 102.1-104.3.Aluminium prices ended with gains bolstered by a softer dollar and short-covering despite a batch of concerning Chinese data. The Federal Reserve Bank of New York said its Empire State Manufacturing Index in May has fallen 9.02 points, halting a brief run of monthly gains over the prior two months. Aluminum daily stocks at Shanghai exchange came down by 2246 tonnes. Warehouse stock for Aluminium at LME was at 2577775mt that is down by -6625mt
Gold trading range for the day is 29696-30410.Gold ended with small losses as the safe-haven metals gains were limited by a firmer dollar. Gold gained around 20% this year after weak economic data in the United States and elsewhere eased expectations of a near-term increase in U.S. interest rates. Still, stronger-than-expected U.S. economic data last week renewed expectations the Federal Reserve will hike rates more than once this year, capping gains.U.S. Retail sales in April recorded their biggest increase in a year suggesting the economy was regaining momentum after growth almost stalled in the first quarter.
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