INTERNATIONAL COMMODITY NEWS :
• Gold prices dropped in U.S. trading on Tuesday after an upbeat consumer confidence report sent investors betting that the Federal Reserve will deliver an positive take on the U.S. economy at a policy meeting this week and make fresh cuts to its stimulus program that has supported the yellow metal for years. On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at 1,300.80 a troy ounce during U.S. trading, down 0.38%, up from a session low of $1,298.10 and off a high of $1,314.40.The December contract settled up 0.04% at $1,305.80 on Monday. Futures were likely to find support at $1,289.40 a troy ounce, Thursday’s low, and resistance at $1,320.40, the high from July 21.Data released earlier bolstered the dollar and in turn, pushed down gold, as the two assets tend to trade inversely with one another.
• Natural gas futures edged lower but held range bound on Tuesday as investors bet a recent spate of mild U.S. temperatures will result in a bearish supply report due out on Thursday. On the New York Mercantile Exchange, natural gas futures for delivery in September traded at$3.753 per million British thermal units during U.S. trading, down 0.33%. The commodity hit a session high of $3.793 and a low of $3.740. The September contract settled down 0.58% on Monday to end at $3.765 per million British thermal units.Natural gas futures were likely to find support at $3.725 per million British thermal units, Monday’s low, and resistance at $3.857, Monday’s high.
• U.S. crude futures dropped on Tuesday amid concerns that this week’s supply data will depict a U.S. economy that is awash in crude. n the New York Mercantile Exchange, West Texas Intermediate crude oil for delivery in September traded down 0.82% at $100.84 a barrel during U.S. trading. New York-traded oil futures hit a session low of $100.38 a barrel and a high of $101.82 a barrel.The September contract settled down 0.41% at $101.67 a barrel on Monday.
• Nymex oil futures were likely to find support at $99.60 a barrel, the low from July 16, and resistance at $102.10 a barrel, Monday’s high.The American Petroleum Institute will release its inventories report later in the day, while Wednesday’s government report could show crude stockpiles fell by 1 million barrels in the week ending July 25.
• Brent oil on the ICE futures exchange rose 0.1% to $107.72 a barrel. Also aiding crude was news that CVR Refining LP shut down its 115,000- barrel-a-day refinery in Coffeyville, Kansas., after a fire Tuesday morning thatinjured four employees, according to a company statement. Despite concerns that conflict in Ukraine and across the Middle East may disrupt supply, shipments have continued to flow normally, with sentiments that the U.S. is brimming with crude oil often overshadowing upbeat U.S. data.The Conference Board reported earlier that its consumer confidence index rose to 90.9 in July from an upwardly revised 86.4 in June. It was the highest reading since October 2007, defying consensus forecasts for a decline to 85.3.
TRADING STRATEGY :
- SELL GOLD COMEX BELOW 1290 TG 1284,1274 SL 1300
- BUY GOLD COMEX ABOVE 1303 TG 1309,1319 SL 1293