Commodity report by ways2capital 06 nov 2014

Web: www.ways2capital.com | Mail: [email protected] | Call: 0731-6554125

✍ NCDEX DAILY LEVELS

DALLY EXPIRY R4 R3 R2 R1 PP S1 S2 S3 S4

SYOREFIDR 20-NOV-14 615 612 609 606 603 599 596 592 588

SYBEANIDR 20-NOV-14 3385 3362 3340 3320 3305 3280 3265 3235 3200

RMSEED 20-NOV-14 3805 3780 3760 3740 3715 3695 3675 3650 3630

JEERAUNJHA 20-NOV-14 11890 11735 11580 11485 11425 11330 11270 11115 10960

DHANIYA 20-NOV-14 12650 12452 12255 12180 12054 11985 11858 11660 11465

CASTORSEED 20-NOV-14 4945 4915 4890 4872 4815 4790 4765 4740 4710

✍ NCDEX WEEKLY LEVELS

WEEKLY EXPIRY R4 R3 R2 R1 PP S1 S2 S3 S4

SYOREFIDR 20-NOV-14 632 626 614 607 602 595 591 579 568

SYBEANIDR 20-NOV-14 3598 3522 3411 3342 3297 3228 3183 3068 2980

RMSEED 20-NOV-14 3854 3817 3782 3762 3747 3727 3712 3677 3638

JEERAUNJHA 20-NOV-14 12035 11835 11635 11524 11425 11325 11222 11035 10880

DHANIYA 20-NOV-14 12755 12503 12377 12172 12046 11841 11715 11510 11305

CASTORSEED 20-NOV-14 4970 4925 4879 4848 4802 4771 4725 4694 4818

Web: www.ways2capital.com | Mail: [email protected] | Contact: 1800-3010-2007 (Toll Free)

✍ MCX DAILY LEVELS

DALLY EXPIRY R4 R3 R2 R1 PP S1 S2 S3 S4

ALUMINIUM 28-NOV-14 134 132 129 127 125 123 121 118 115

COPPER 28-NOV-14 426 423 421 419 416 412 409 406 402

CRUDE OIL 19-NOV-14 5030 5015 5000 4980 4960 4945 4920 4905 4890

GOLD 5-DEC-14 28330 27620 26911 26532 26201 25813 25490 24780 24070

LEAD 28-NOV-14 131 129 127 125 123 121 119 117 115.NATURAL GAS 24-NOV-14 261 259 256 253 250 245 242 239 236

NICKEL 28-NOV-14 1035 1010 990 976 960 945 930 915 890

SILVER 5-DEC-14 39700 38400 37090 36445 35780 35135 34470 33160 31850

ZINC 28-NOV-14 150 148 146 144 141 139 137 135 133

✍ MCX WEEKLY LEVELS

WEEKLY EXPIRY R4 R3 R2 R1 PP S1 S2 S3 S4

ALUMINIUM 28-NOV-14 137 135 133 131 129 126 124 122 119

COPPER 28-NOV-14 431 427 423 419 416 412 408 404 400

CRUDE OIL 19-NOV-14 5075 5050 5025 4995 4970 4930 4895 4865 4830

GOLD 5-DEC-14 30600 29215 27818 26975 26420 25580 25040 23640 22258

LEAD 28-NOV-14 136 133 130 127 125 123 120 117 114

NATURAL GAS 24-NOV-14 265 261 257 253 250 244 241 237 234

NICKEL 28-NOV-14 1100 1070 1040 1010 980 950 920 890 860

SILVER 5-DEC-14 46500 43150 39800 37850 36460 34450 33118 29770 26425

ZINC 28-NOV-14 154 151 149 146 143 140 137 134 131


✍ MCX - WEEKLY NEWS LETTERS

INTERNATIONAL NEWS

US Gross domestic product grew at a 3.5 percent annual rate, the Commerce Department saidon Thursday, beating economists' expectations for a 3.0 percent pace.

The State Council, China's cabinet, said on Wednesday it would promote consumption insectors including e-commerce, new energy, housing, tourism, education and sport. ChinaRailway Corporation said all 64 railway projects planned for this year had been approved andwould start by the end of the year. The Fed pointed to strengthening labor markets, saying thatslack in labor markets was "gradually diminishing."

Two of China's biggest banks reported sharply higher bad loans for the third quarter, with oneadding that a credit crunch squeezing small companies in the country's export-oriented easternprovinces may be spreading westward.

The U.S. Energy Information Administration said utilities added 87 billion cubic feet of gas tostorage last week, a little more than the 85-bcf build analysts forecast in a Reuters poll.

Precious Metals

Silver was down 3.7 percent at $16.41 an ounce on Thursday, having earlier hit its lowest levelsince March 2010 at $16.30 an ounce.

A smaller trade deficit and a surge in defense spending buoyed U.S. economic growth in thethird quarter, but other details of Thursday's report hinted at some loss of momentum inactivity. Gross domestic product grew at a 3.5 percent annual rate, the Commerce Departmentsaid on Thursday, beating economists' expectations for a 3.0 percent pace. While the pace ofgrowth in business investment, housing and consumer spending slowed from the secondquarter, all those categories contributed to growth.

Gold fell 1 percent to $1,200 an ounce and silver plunged to its lowest level in more than four-and-a-half years on Thursday, hit by strong third-quarter U.S. economic growth and worries theFederal Reserve might raise interest rates sooner than expected. A smaller trade deficit and asurge in defense spending buoyed U.S. growth in the third quarter, but domestic demandslipped, hinting at some loss of momentum, Commerce Department data showed. Follow-


through selling continued in the gold market a day after the U.S. central bank gave upbeatcomments about U.S. economic growth and ended its year-long, bond-buying stimulusprogram. Analysts said expectations the Fed could hike interest rates sooner than forecast,further strengthening the dollar, could increase the pressure on gold prices.

Base metal

Copper fell more than 1 percent on Thursday as the dollar rallied on strong U.S. growth dataand the Federal Reserve's relatively hawkish tone on monetary policy.

A smaller trade deficit and a surge in defence spending buoyed U.S. economic growth in thethird quarter to a better-than-expected 3.5 percent annual rate. That data plus a show ofconfidence from the Fed in the U.S. economy's prospects sent the dollar to a 3-1/2-week high.A strong dollar makes dollar-priced metals more costly for European and other non-U.S.investors. Also weighing on copper, two of China's biggest banks reported sharply higher badloans for the third quarter, with one adding that a credit crunch squeezing small companies inthe country's export-oriented eastern provinces may be spreading westward. Limiting losses inthe metal, Chinese shares touched a 20-month high after the government said it would promoteconsumption in six sectors of the economy, including housing. China consumes about 45percent of the world's copper. In positive news for zinc, which is used in galvanising steel,China Railway Corp said all 64 railway projects planned for 2014 had been approved andwould start by the end of the year

Energy

Oil prices closed down 1 percent on Thursday, resuming their downtrend after a two-day climb,as the dollar rallied on bets of a sooner-than-expected U.S. rate hike and traders placed littlehope on OPEC cutting output at its November meeting.

Both benchmark Brent and U.S. crude gained about 1 percent a day earlier as U.S. crudestockpiles rose less than expected last week, ending two weeks of builds that pressured themarket. But sentiment in oil weakened again in the latest session as the dollar hit a three-weekhigh after the Federal Reserve ended its long-running bond-buying stimulus on Wednesday. Astronger dollar makes commodities priced in the currency, including oil, costlier for buyersusing other denomination.

A 3.5 percent annual rise in third-quarter U.S. gross domestic product reported on Thursday


also reinforced investor confidence over the economy, lending to a more hawkish interest rateoutlook.

U.S. natural gas futures ended 1 percent higher on Thursday on forecasts for colder-than-normal temperatures and strong heating demand over the next two weeks despite a slightlybigger-than-expected storage build. The U.S. Energy Information Administration said utilitiesadded 87 billion cubic feet of gas to storage last week, a little more than the 85-bcf buildanalysts forecast in a Reuters poll. For the next five days, MDA Weather Services forecast thata strong autumn cold snap would blanket the eastern half of the United States

LME Inventory 17-10-2014

Last updated at OCT 31 02:30 pm IST

✍ NCDEX - WEEKLY NEWS LETTERS

Jeera

Jeera November traded on a positive note on Thursday on overseas demand and firm exportsdata and settled 0.4% higher. However, huge carryover stocks capped sharp gains. Area underjeera in Gujarat was reported at 455,000 ha as against 335,200 ha last year while about 390,000ha were sown in Rajasthan. Geo-political tensions in Syria and Turkey have led to a supplycrunch in the global markets raising supply concerns from the two major exporting countries.


Metal Change from previous day

Aluminium -5900

Copper -25

Lead unch

Nickel 1680

Tin -25

Zinc -2125

Export orders are diverted to India. Production is also expected to fall in Syria and Turkey dueto crop failure.

Exports of Jeera between Apr-July 2014 stood at 58,000 tn, up 40% as against 43,898 tnbetween Apr-July 2013. (Source: Spices Board) .According to IBIS India’s Jeera exports havecrossed 1,00,000 tonnes till Feb’14. Production of Jeera in 2013-14 is expected around 45-50lakh bags (55 kgs each), higher than 40-45 lakh bags last year.

SOYABEAN / REFI. SOYA

Indian oilseed complex prices closed mixed yesterday with Soy oil moving lower as tradersbooked profits after the recent sharp rally. Rupee closed lower.

• Traders estimate this year’s crop between 9 – 10 million MT. USDA estimates Indian Soybeancrop at 11.0 million MT.

• According to 1st Advance estimates for 2014-15 released by GoI, India’s output for Soybeanis estimated at 11.82 million MT.

• Soy meal exports from India fell to 868 MT in September from 2,778 MT in August. India'soil meal exports in September 2014 were 82K MT vs. 136K MT in previous month.CBOT Soy complex prices ended mixed yesterday with bean and meal falling after the recentsurge in prices.

• USDA said on Thursday morning that weekly old-crop export sales of soybeans were 1.326million MT, in line with market forecasts. Soy meal export sales came in at 147,800 MT,slightly below trade forecasts for 150,000 to 300,000 MT.

• As of 26 October, US Soybeans were 70% harvested vs. 53% a year ago.

• According to CFTC CoT report, for the week ending 21 October, non commercial tradersreduced their net short positions in CBOT Soybeans.

• ICE Canola prices closed higher yesterday

CHANA

Chana futures surged higher on Thursday. Total Volumes and OI increased on Thursdaycompared to previous trading day.Arrivals increased in the spot markets and capped


upside.Prices were influenced on speculation that prices in the spot markets moved higher onstrong demand against tight supplies from producing belts.Stock position of Chana at NCDEXapproved warehouses as on 30 October 2014 was 34,097 MT.

Chana allocated and delivered on NCDEX in October: - 16,710 MT and 16,710 MTrespectively. NCDEX Chana Indore – NCDEX Mumbai Yellow Peas Spot spread is trading atRs. 660.35/100Kg.

In other news, the Cabinet Committee on Economic Affairs has approved the MinimumSupport Price (MSP) for Chana to be revised from 3100/Qtl to 3175/Qtl. As per the 1stAdvance Estimates from Ministry of Agriculture production of Kharif Pulses is forecasted to be5.20 million MT in 2014-15 compared to 6.02 million MT (4th Advance estimates) and 5.91million MT in 2012-13.

As per data released by Directorate of Economics & Statistics, acreage under Rabi Pulses as onOctober 24, 2014 has declined to 3.31 lakh hectare as compared to 3.78 lakh hectare during thecorresponding period of last year.

They added that production of Tur is forecasted to be 2.74 million MT compared to 3.29million MT (4th Advance estimates) and 3.02 million MT in 2012-13. Production of Urad isforecasted to be 1.15 million MT compared to 1.07 million MT (4th Advance estimates) and1.43 million MT in2012-13.


This Document has been prepared by Ways2Capital (A Division of High Brow MarketResearch Investment Advisory 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.

All information, levels & recommendations provided above are given on the basis of technical& fundamental research done by the panel of expert of Ways2Capital but we do not accept anyliability for errors of opinion. People surfing through the website have right to opt the productservices of their own choices.

Any investment in commodity market bears risk, company will not be liable for any loss doneon these recommendations. These levels do not necessarily indicate future price moment.Company holds the right to alter the information without any further notice. Any browsingthrough website means acceptance of disclaimer.


Commodity report by ways2capital 06 nov 2014

Business

Transcript of Commodity report by ways2capital 06 nov 2014