INTERNATIONAL COMMODITY NEWS :
• Gold prices rose in Asia on Monday after manufacturing data pointed to steady demand and on possible new sanctions on Russia and with markets in the U.S. and Canada closed for the Labor Day holiday. Gold for December delivery traded at $1,287.70 a troy ounce, up 0.02%, after ending last week at $1,288.20 a troy ounce on the Comex division of the New York Mercantile Exchange .Gold futures rose 0.62% last week, but ended the month down 0.51%. The HSBC final manufacturing PMI came in at 50.2, just below the 50.3 expected. U.S. officials are working closely with the European Union to keep their Russia sanctions programs aligned in timing and severity. European Council President Herman Van Rompuy said the bloc wouldn’t set out specific criteria for triggering fresh sanctions but said there was “determination” to ensure Russia paid an appropriate price for heightening tensions.
• Crude oil prices ended the month lower, despite posting their first weekly gain in five weeks on Friday bolstered by concerns over worsening tensions in Ukraine and as broadly upbeat U.S. data lifted the demand outlook. On the New York Mercantile Exchange, crude oil for delivery in October added 1.34% to end the week at $95.82 a barrel late Friday. Nymex oil futures rose 2.58% last week, but ended the month with losses of 2.11%. Crude oil moved higher after data showed that U.S. consumer sentiment rebounded to a seven year high in August, with the final reading of the University of Michigan’s consumer confidence index rising to 82.5 from 81.8 in June. Another report indicated that manufacturing activity in the Chicago region continued to expand in August, pointing to underlying strength in the sector.
• Natural gas prices edged higher on Friday as updated weather-forecasting models called for warm temperatures for a good portion of the U.S. in the coming week, which should maintain demand for air conditioning. On the New York Mercantile Exchange, natural gas futures for delivery in October were up 0.28% at $4.056 per million British thermal units during U.S. trading. The commodity hit a session low of $4.012, and a high of $4.067.Natural gas futures were likely to find support at $3.932 per million British thermal units, Wednesday’s low, and resistance at $4.101, Thursday’s high. Weather-forecasting models have called for above-normal temperatures to settle over the eastern U.S., though intensity of the forecasts has fluctuated at times.
TRADING STRATEGY :
- BUY GOLD ABOVE 1294 TGT 1299,1304 SL 1289
- SELL GOLD BELOW 1285 TGT 1281,1277 SL 1290.50