18-Dec-2014 Gold switched between small gains
Transcription
18-Dec-2014 Gold switched between small gains
Shriram Market Analysis & Research Team C O M M O D I T YREPORT 18 December 2014 ECONOMIC/GLOBAL NEWS China house prices fell 3.7% in November from the year-ago period, after dropping 2.6% in October. The Federal Reserve said Wednesday it will be "patient" in determining when to raise interest rates, a subtle change in language from its previous vow to keep rates near zero for a "considerable time." "Based on its current assessment, the (Federal Open Market) Committee judges that it can be patient in beginning to normalize the stance of monetary policy," the Fed said. U.S. current-account deficit increased to $100.3 billion (preliminary) in the third quarter of 2014 from $98.4 billion (revised) in the second quarter. U.S. consumer price index dropped by 0.3% in November after coming in unchanged in October. Core consumer prices, inched up by 0.1% in November after rising by 0.2% in October. Consumer price index contributed to a notable slowdown in the annual rate of growth, which slowed to 1.3% in November from 1.7% in October. The annual rate of core consumer price growth also slowed to 1.7% in November from 1.8% in the previous month. Bank of England policymakers decided to leave its key rate at a historic low of 0.50% in a split vote for the fifth straight time at the meeting held on December 3 and 4. The Monetary Policy Committee voted 7-2 to retain its key rate at 0.50%. Ian McCafferty and Martin Weale sought a 25 basis-point hike for the fifth straight meeting. Regarding the asset purchase programme, the Monetary Policy Committee unanimously decided to maintain it at GBP 375 billion. Index Dow Nifty Sensex USD/INR Dollar Index Euro/$1US $1US/Yen Pound/$1US .........Investing 17356.87 8029.80 26710.13 63.525 89.33 1.2343 118.66 1.5575 16-Dec-14 Pts. Ch. % Change 17068.87 288.00 1.69 8067.60 -37.80 -0.47 26781.44 -71.31 -0.27 63.660 -0.13 -0.21 88.30 1.03 1.17 1.2511 -0.0168 -1.34 116.41 2.25 1.93 1.5749 -0.0174 -1.10 Market Update The S&P 500 and Dow Jones Industrial Average scored their best one-day gains of 2014 Wednesday, shrugging off fallingoil worries and global deflationary concerns, after the Federal Reserve conveyed a more dovish posture at the conclusion of its two-day meeting. The S&P 500 closed 40.15 points, or 2%, higher at 2,012.89. The Dow Jones Industrial Average gained 288 points, or 1.7%, to 17,356.87. The Nasdaq Composite added 96.48 points, or 2.12%, to 4,644.31. Indian market ended lower for the fifth straight day, amid volatile trading session. Currency Update The dollar shot up against most major currencies on Wednesday after the Federal Reserve delivered an upbeat take on the U.S. economy and used a dovish timetable phrase in a new light, suggesting that rate hikes are on the way though monetary authorities won't rush to act. Euro was down 1.25% at 1.2354. The dollar was up against the yen, up 1.76% at 118.47. The greenback was up against the pound, with down 1.03% at 1.5587. The US dollar index was up 1.27% at 89.18. The rupee retreated from 13-month lows after the central bank stepped up intervention, while bonds also recovered despite concerns over whether foreign funds will stick with India, one of the star performers this year among emerging markets. The partially convertible rupee ended at 63.6150/6250 per dollar, weaker than its 63.53/54 close. It had earlier weakened to as much as 63.89, its lowest since Nov. 13, 2013. U.K. jobless rate fell to 6% during August to October, down from 6.2% seen in the May to July period. During August to October, there were 1.96 million unemployed, 63,000 fewer than in the May to July period. Smart 17-Dec-14 Enquiry : +91 33 2359 4612, +91 33 2359 4614, +91 33 2358 1953, E-mail : [email protected] C O M M O D I T YREPORT 18 December 2014 PRECIOUS METALS Gold prices corrected on the back of strong local currency and it was yet again a volatile session. The February prices ended the day at Rs 26955 per 10 grams against levels of Rs 27194 per 10 grams. Silver March delivery quoted at Rs 36731, down 0.01%. Gold futures switched between small gains and losses, after briefly jumping above the key round number of $1,200 in the wake of what some analysts described as a more-dovish-than-anticipated Federal Reserve statement. Gold for February delivery was up 20 cents, or 0.02%, to $1,194.50 an ounce. March silver jumped 18 cents, or 1.12%, to settle at $15.928 an ounce. Open Interest Closing Bullion Gold February MCX Gold February Comex Silver March MCX Silver March Comex Open 27150 1195 36762 15.755 Bullion ( Technical ) Gold February MCX Gold February Comex Silver March MCX Silver March Comex High 27247 1203 37047 16.060 Low 26915 1182 36226 15.615 17-Dec-14 26955 1195 36731 15.928 16-Dec-14 27194 1194 36727 15.752 % Ch -0.88 0.02 0.01 1.12 17-Dec-14 8377 226492 8451 102188 % Ch -1.71 -2.23 0.23 -0.76 Close Price Sup-3 Sup-2 Sup-1 Pivot Point Res -1 Res -2 Res -3 26955 1195 36731 15.928 26499 1162 35468 15.230 26707 1172 35847 15.423 26831 1183 36289 15.675 27039 1193 36668 15.868 27163 1204 37110 16.120 27371 1214 37489 16.313 27495 1226 37931 16.565 Holdings In Tonnes As On Name of the ETF 16-Dec-14 8523 231650 8432 102971 17-Dec-2014 16-Dec-2014 %Ch 17-Dec-2014 Ratio Close Ratio Close SPDR Gold ETF 721.56 721.56 0.00 Gold v/s Silver 1194.50 15.928 74.99 iShares Silver Trust 10544.01 10606.57 -0.59 Gold v/s Crude Oil 1194.50 56.79 21.03 OUTLOOK OF PRECIOUS METALS Likely to remain range-bound with positive bias. Trade tracking support and resistance. Smart .........Investing Enquiry : +91 33 2359 4612, +91 33 2359 4614, +91 33 2358 1953, E-mail : [email protected] C O M M O D I T YREPORT 18 December 2014 BASE METALS Copper markets were in deficit during January-October 2014, however in intraday the domestic as well as international prices kept on declining on the back of weak set of data from China last evening. The decline in the manufacturing activity in China is a sign for weakness in consumption in days to come. MCX Copper February expiry closed the last session trades at Rs 407.15 per kg, down for the third straight day in a row. World Bureau of Metal Statistics report showed that copper market recorded a deficit of 62000 tonnes in January to October 2014 which follows a surplus of 281000 tonnes in the whole of 2013. Reported stocks fell by 191 kt over the ten months. No allowance is made in the consumption calculation for unreported stock changes, particularly in the Chinese government stockpile World mine production in January to October 2014 was 15.27 million tonnes which was 1.13 per cent higher than in the same period in 2013. Global refined production rose to 18.84 million tonnes up 7.1 per cent compared with the previous year with a significant increase recorded in China (up 822 kt) more than compensating for the 17.0 kt fall in Chilean output and 6.1 kt decrease in German production. Global consumption for January to October 2014 was 18905.6 kt compared to 21039 kt for the whole of 2013. LME Inventories (In Tonnes) Base Metals Aluminum Copper Nickel Lead Zinc 17-Dec-14 16-Dec-14 4261750 172200 406854 219825 685275 4272100 172675 405174 219825 687450 Base Metals ( Closing ) 21-Mar-12 Base Metals ( Technical ) Aluminium ( December ) Copper ( February ) Nickel ( December ) Lead ( December ) Zinc ( December ) % Change -10350 -475 1680 0 -2175 -0.24 -0.28 0.41 0.00 -0.32 20-Mar-12 16-Dec-14 17-Dec-14 LME Aluminium ( Spot ) LME Aluminum (3 Month Forward ) MCX Aluminium ( December ) LME Copper ( Spot ) LME Copper ( 3 Month Forward ) MCX Copper ( February ) LME Nickel ( Spot ) LME Nickel ( 3 Month Forward ) MCX Nickel ( December ) LME Lead ( Spot ) LME Lead ( 3 Month Forward ) MCX Lead ( December ) LME Zinc ( Spot ) LME Zinc ( 3 Month Forward ) MCX Zinc ( December ) Change 1863.00 1893.00 120.70 6305.00 6269.00 407.15 15425.00 15475.00 992.50 1866.00 1877.00 118.95 2113.00 2128.00 135.45 1874.50 1908.00 120.80 6385.00 6350.00 408.75 16125.00 16250.00 1019.80 1936.00 1950.00 122.05 2142.00 2156.00 136.55 %Change %Change -0.61 -0.79 -0.08 -1.25 -1.28 -0.39 -4.34 -4.77 -2.68 -3.62 -3.74 -2.54 -1.35 -1.30 -0.81 Close Price Sup-3 Sup-2 Sup-1 Pivot Point Res -1 Res -2 Res -3 120.70 407.15 992.50 118.95 135.45 118.00 396.70 928.00 114.30 131.60 118.60 399.90 953.60 116.50 132.90 119.70 403.50 973.00 117.70 134.20 120.30 406.70 998.60 119.90 135.50 121.40 410.40 1018 121.10 136.80 122.00 413.60 1044 123.30 138.10 123.10 417.20 1063 124.50 139.40 OUTLOOK OF BASE METALS Likely to remain range-bound with positive bias. Trade tracking support and resistances. Smart .........Investing Enquiry : +91 33 2359 4612, +91 33 2359 4614, +91 33 2358 1953, E-mail : [email protected] C O M M O D I T YREPORT 18 December 2014 ENERGY Crude Oil gained for the first time in three days, making life a bit easier for bulls. Heavy correction in last one month has depleted the sentiments. The January prices ended the day at Rs 3730 per barrel, against Rs 3627 per barrel. December Natural Gas closed at Rs. 235 per British thermal unit, up 0.17%. U.S. crude-oil futures bounced back, rebounding from a five-year low after data showed crude inventories declined, although less than forecast. Crude futures for delivery in February settled higher by 53 cents, or 0.94%, at $56.79 a barrel on the New York Mercantile Exchange. January natural gas up 8.3 cents, or 2.29%, to end at $3.702 per million British thermal units. EIA Crude Oil Inventories Data Crude inventories declined by 847,000 barrels in the week ended Dec. 12. The report also showed that total motor gasoline inventories rose by 5.25 million barrels, while distillate stockpiles fell by 207,000fff million barrels. EIA Natural Gas Inventories Forecast The EIA will issue its weekly natural-gas supply report on Thursday, with consensus expectations calling for an decrease of 60 billion cubic feet for the week ended Dec. 142. Open Interest Closing ENERGY Crude Oil January MCX Crude February Nymex Natural Gas December MCX Natural Gas January Henry Hub ENERGY ( Technical ) Crude Oil January MCX Crude February Nymex Natural Gas December MCX Natural Gas January Henry Hub Open 3592 55.85 234.40 3.621 High 3772 59.27 238.00 3.724 Low 3515 54.60 231.70 3.614 17-Dec-14 3730 56.79 235.00 3.702 16-Dec-14 3627 56.26 234.60 3.619 % Ch 2.84 0.94 0.17 2.29 17-Dec-14 16204 300200 9137 82885 16-Dec-14 13279 267302 9404 95624 % Ch 22.03 12.31 -2.84 -13.32 Close Price Sup-3 Sup-2 Sup-1 Pivot Point Res -1 Res -2 Res -3 3730 56.79 235.00 3.702 3316 49.83 225.50 3.526 3415 52.22 228.60 3.570 3573 54.50 231.80 3.636 3672 56.89 234.90 3.680 3830 59.17 238.10 3.746 3929 61.56 241.20 3.790 4087 63.84 244.40 3.856 OUTLOOK OF ENERGY Likely to remain range-bound with negative bias. Trade tracking support and resistance. Smart .........Investing Enquiry : +91 33 2359 4612, +91 33 2359 4614, +91 33 2358 1953, E-mail : [email protected] C O M M O D I T YREPORT 18 December 2014 ECONOMIC CALENDER Time 12:30:00 AM 6:00:00 AM 7:00:00 AM 2:30:00 PM 2:30:00 PM 2:30:00 PM 3:00:00 PM 3:00:00 PM 3:00:00 PM 3:00:00 PM 7:00:00 PM 7:00:00 PM 7:00:00 PM 8:15:00 PM 9:00:00 PM Country U.S. Australia China Germany Germany Germany U.K. U.K. U.K. U.K. U.S. U.S. U.S. U.S. U.S. Thursday December 18, 2014 Event FOMC Statement RBA Bulletin House Prices (YoY) (Nov) German Business Expectations (Dec) German Current Assessment (Dec) German Ifo Business Climate Index (Dec) Core Retail Sales (YoY) (Nov) Core Retail Sales (MoM) (Nov) Retail Sales (YoY) (Nov) Retail Sales (MoM) (Nov) Continuing Jobless Claims Initial Jobless Claims Jobless Claims 4-Week Avg. Services PMI (Dec) Natural Gas Storage Actual -3.7% Forecast Previous -2.6% 99.7 110.0 104.7 4.6% 0.8% 4.3% 0.8% 2,514K 294K 299.25K 57.1 56.2 -60B -51B 101.1 110.3 105.4 4.5% 0.4% 4.2% 0.3% 2,430K 295K D I S C L A I M E R This document has been prepared by ICFL (100% Subsidiary Company of Shriram Insight Share Brokers Ltd) and is meant for sole use by the recipient and not for circulation. This document is not to be reported or copied or made available to others. The information contained herein is from sources believed reliable It should not be considered to be taken as an offer to sell or a solicitation to buy and sell any Commodity or as an official confirmation of any transaction. We do not represent that it is accurate or complete and it should not be relied upon as such. This document is prepared for assistance only and is not intended to be and must not alone be taken as the basis for an investment decision. 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