Tuesday, April 11, 2017 For Private Circulation Only MAJOR COMMODITIES Commodity Expiry High Low Close Change Commodity Expiry High Low Close ($) Change Gold 05-Jun 28800 28621 28739 55 Gold (Oz) Jun 1258.90 1248.20 1253.90-3.40 Silver 05-May 41468 41006 41366-13 Silver (Oz) May 18.03 17.74 17.92-0.24 Crude Oil 19-Apr 3430 3365 3424 65 Crude Oil May 53.18 52.29 53.08 0.84 Natural Gas 26-Apr 212.80 208.50 209.40-0.60 Natural Gas May 3.29 3.23 3.24-0.02 Copper 28-Apr 375.90 371.45 372.55-3.50 Copper 3M 5832.00 5742.00 5755.00-92.50 Nickel 28-Apr 658.90 650.00 652.00-4.80 Nickel 3M 10210.00 10060.00 10105.00-100.00 Aluminium 28-Apr 125.70 123.60 123.75-2.00 Aluminium 3M 1962.50 1921.00 1921.00-41.00 Lead 28-Apr 146.50 144.35 145.20 0.05 Lead 3M 2272.00 2234.50 2250.50-6.50 Zinc 28-Apr 172.80 167.95 168.40-3.55 Zinc 3M 2692.00 2614.50 2626.50-60.50 News & Development The Federal Reserve plans to raise U.S. interest rates gradually so as to sustain healthy growth without letting the economy overheat, Fed Chair Janet Yellen said on Monday. (Source: Reuters)
Gold Gold prices ended little changed on Monday as expectations that the Federal Reserve will press ahead with interest rate rises offset concerns over political tensions in North Korea and the Middle East. Late in the session, prices were supported after Fed Chair Janet Yellen struck a cautious note, saying it would be appropriate to gradually raise rates if the economy continued to perform strongly. On Friday, the metal rose above $1,270 on Friday for the first time since early November following much weaker than expected U.S. jobs data, and after the United States launched a missile strike on a Syrian air base. Top aides to U.S. President Donald Trump differed on Sunday on where U.S. policy on Syria was headed after last week's attack on a Syrian air base, while U.S. Secretary of State Rex Tillerson warned that the strikes were a warning to other nations, including North Korea. After rallying for a fourth month though gold is trading just above its 200 day moving average. The U.S. dollar fell on Monday as Treasury Yields dipped after starting the week near three-week highs against major currencies in the wake of a Federal Reserve official reinforcing the U.S. central bank's commitment to continue raising interest rates. Gold Strategy S2 S1 Close R1 R2 Jun Sell @ R1 28500 28600 28739 28850 28950 We expect gold prices to trade negative on the back of profit booking after an up-move. Silver Silver was down 0.2 percent at $17.93 an ounce, having hit its highest since Feb. 27 at $18.47 on Friday. Silver Strategy S2 S1 Close R1 R2 May Sideways 40700 41000 41366 41500 41800 We expect silver prices to trade sideways on the back of profit booking after an up-move. Page 2
Crude Oil Oil rose toward $56 a barrel on Monday, supported by another shutdown at Libya's largest oilfield over the weekend and geopolitical tensions following last week's U.S. missile strike on Syria. Libya's Sharara oilfield was shut on Sunday after a group blocked a pipeline linking it to an oil terminal, a Libyan oil source said. The field had only just returned to production, after a week-long stoppage ending in early April. The outage adds fuel to a rally that started late last week after the United States fired missiles at a Syrian government air base. While analysts point out that Syria produces only small volumes of oil, the Middle East is home to more than a quarter of the world's oil output. Rising tensions in the region has the potential to produce knee-jerk rallies in oil, even if major producing countries nearby like Iran, Iraq or Saudi Arabia, are not affected. Oil prices have also been supported by a deal led by the Organization of the Petroleum Exporting Countries to cut output by 1.8 million barrels per day for the first six months of 2017, to get rid of excess supply. Libya and fellow OPEC member Nigeria are exempt from cuts. In a sign of OPEC confidence that the deal is working, Kuwait's oil minister said he expected producers' adherence in March to their supply cut pledges to "be higher than the previous couple of months." The minister, Essam al-marzouq, also said he saw "positive indications" in the decline of global oil stocks. We expect crude oil prices to trade negative on the back of profit booking after an up-move. Crude Oil Strategy S2 S1 Close R1 R2 Apr Sideways 3370 3400 3424 3450 3480 Natural Gas We expect Natural gas prices to trade sideways on the back of short covering after drop in prices. Nat Gas Strategy S2 S1 Close R1 R2 Apr Sideways 205 208 209.4 212 215 \ Page 3
Base Metals Zinc hit a three-month low on Monday and copper also fell as supply concerns eased and demand remained weak in top metal consumers such as China. Shortages of zinc concentrate - partly processed ore - are easing, according to a report by the Chinese state-supported research institute Antaike cited by Commerzbank. Hedge funds and money managers cut their net long position in U.S. copper futures for the first time in three weeks, data showed. Prices have faltered since shipments resumed from the world's two biggest copper mines after being disrupted earlier this year. Feb Strategy S2 S1 Close R1 R2 Copper Sideways 368 370 372.5 375 378 Nickel Sideways 640 645 652.0 655 660 Alum Sideways 122 123 123.7 124.5 125.5 Lead Sideways 143 144 145.2 146 147 Zinc Sideways 167 168 168.4 169 170 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 266575 171750 366600 1802800 374532 1250-1275 -800-15500 -1170 0.47% -0.74% -0.22% -0.85% -0.31% Page 4
DATE TIME (IST) COUNTRY ECONOMIC DATA CONSENSUS PREVIOUS IMPACT Tue Apr 11 1:40am USD Fed Chair Yellen Speaks High 2:00pm GBP CPI y/y 2.20% 2.30% High For Further Assistance Contact: - 022-40934000 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. 00304 MCX, FMC Regn.No. 12240 Genius, 4 th Road, Khar (W), Mumbai 400 052. Tel.: 022-6698 0636 Fax: 022-6698 0606 E-mail: commodities@sushilfinance.com www.sushilfinance.com Page 5