Wednesday, April 05, 2017 MAJOR COMMODITIES. News & Development. For Private Circulation Only

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1 Wednesday, April 05, 2017 For Private Circulation Only MAJOR COMMODITIES Commodity Expiry High Low Close Change Commodity Expiry High Low Close ($) Change Gold 05-Apr Gold (Oz) Jun Silver 05-May Silver (Oz) May Crude Oil 19-Apr Crude Oil May Natural Gas 26-Apr Natural Gas May Copper 28-Apr Copper 3M Nickel 28-Apr Nickel 3M Aluminium 28-Apr Aluminium 3M Lead 28-Apr Lead 3M Zinc 28-Apr Zinc 3M News & Development A measure of U.S. manufacturing activity retreated from a 2-1/2-year high in March amid a decline in production and an inventory drawdown, but a surge in factory jobs indicated that the sector's energy-led recovery was gaining momentum. (Source: Reuters)

2 Gold Gold prices rose on Tuesday, hitting a one-month high as the dollar weakened, but gold retraced gains as U.S. President Donald Trump laid out aggressive plans for infrastructure spending and deregulation. Gold touched $1,261.15, its highest since Feb. 27 as the dollar weakened after the U.S. Institute for Supply Management said its index of national factory activity fell in March, while automakers reported a drop in U.S. sales. Yet investors remained cautious ahead of a meeting between U.S. and Chinese leaders, as well as the upcoming French presidential election. The blast in a St Petersburg train carriage on Monday that killed 14 people and wounded 50 has fueled security concerns around the world, triggering interest in gold seen as a safe place to park assets during times of uncertainty. Gold Strategy S2 S1 Close R1 R2 Jun Sideways We expect gold prices to trade sideways on the back of profit booking. Silver Silver rose 0.3 percent to $18.27, having hit a one-month high at $ an ounce. Silver Strategy S2 S1 Close R1 R2 May Sideways We expect silver prices to trade sideways on the back of profit booking. Page 2

3 Crude Oil Oil prices on Tuesday rose to a near one-month high, supported by an unplanned production outage in the North Sea and expectations of a drawdown in U.S. crude and product inventories. Both contracts ended the day at their highest levels since March 7. They hit four-month lows late last month but have recovered 9 percent since then on expectations the Organization of the Petroleum Exporting Countries (OPEC) and other producers would cut output under an agreement reached last year. Meanwhile, U.S. crude stocks fell by more than expected last week, dropping by 1.8 million barrels compared with analysts' expectations of a 435,000 barrel decline, according to data released late Tuesday from the American Petroleum Institute. Yet global inventories remain high. UBS analyst Giovanni Staunovo said OPEC was taking longer than expected to tighten the oil market but recent data suggested the process was now well under way. Crude Oil Strategy S2 S1 Close R1 R2 Apr Sideways We expect crude oil prices to trade sideways on the back of profit booking after an up-move. Natural Gas U.S. natural gas futures on Tuesday traded within a few cents of unchanged on forecasts for steady warmer-than-normal weather and light heating demand over the next two weeks. Analysts, however, noted the market has gained about 25 percent from an eight-month low of $2.522 in February as traders focus on the potential for low inventory levels going into next winter due to projections for lackluster production and rising exports. U.S. and European weather models projected temperatures would hold above normal over the next two weeks. As the weather warms, gas consumption was expected to slip to 75.9 billion cubic feet per day (bcfd) this week to 74.2 bcfd next week from 76.4 bcfd last week, Thomson Reuters data showed. Meteorologists forecast temperatures this summer would be above normal, sparking expectations of higher-than-average power generator gas consumption to meet stronger air conditioning demand. Nat Gas Strategy S2 S1 Close R1 R2 Apr S \ We expect Natural gas prices to trade positive on the back of weak production. Page 3

4 Base Metals Zinc prices bounced after touching a three-week low on Tuesday as investors bet lacklustre demand would recover in top metals consumer China, while copper hit a one-week low. Escondida, the world's biggest copper mine, has restarted production but is still some way from a return to full capacity after a strike that ended in late March, a senior executive from mine owner BHP Billiton said. The world's copper market could see a small shortage this year, but the price outlook is uncertain, as risk factors include the possibility of protectionist policy from the United States, the head of miner Antofagasta said. Feb Strategy S2 S1 Close R1 R2 Copper S Nickel S Alum S Lead Sideways Zinc Sideways We expect base metal prices likely to trade volatile on the back of mixed fundamentals. LME Inventories Copper Lead Zinc Aluminium Nickel Current Stock Change % Change % -1.55% -0.13% -0.76% -0.40% Page 4

5 DATE TIME (IST) COUNTRY ECONOMIC DATA CONSENSUS PREVIOUS IMPACT Wed Apr 5 2:00pm GBP Services PMI High 5:45pm USD ADP Non-Farm Employment Change 191K 298K High 7:30pm USD ISM Non-Manufacturing PMI High 8:00pm USD Crude Oil Inventories 0.9M High 11:30pm USD FOMC Meeting Minutes High For Further Assistance Contact: Ashish Shah Tejas Nikhar Devashish Srivastava AVP ashish.shah@sushilfinance.com Sr. Research Analyst tejas.nikhar@sushilfinance.com Research Analyst devashish.srivastava@sushilfinance.com WE / OUR CLIENTS / OUR RELATIVES MAY HAVE PERSONAL TRADING / INVESTMENT INTEREST IN THE STOCKS MENTIONED HERE IN. STATEMENT OF DISCLAIMER This report includes information from sources believed to be reliable but no independent verification has been made and we do not guarantee its accuracy or completeness. Opinions expressed are subject to change without notice. This report cannot be construed as a request to engage in any transaction involving the purchase or sale of a futures contract. The risk of loss in trading futures contracts can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results. Additional information with respect to any commodities referred to herein will be available on request. Sushil Global Commodities Pvt. Ltd. and its connected companies, and their respective Directors, Officers and employees, may, from time to time, have a long or short position in the commodities mentioned and may sell or buy such commodities. Sushil Global may act upon or make use of information contained herein prior to the publication thereof. This data sheet is for private circulation only. While utmost care has been taken in preparing the above, we claim no responsibility for its accuracy. We shall not be liable for any direct or indirect losses arising from the use thereof and the investors are requested to use the information contained herein at their own risk. Sushil Global Commodities Private Limited Member: NCDEX, FMC Regn.No MCX, FMC Regn.No Genius, 4 th Road, Khar (W), Mumbai Tel.: Fax: commodities@sushilfinance.com Page 5