INTERNATIONAL COMMODITY NEWS :
• Crude oil rices rebounded in early Asia on Thursday with investors buying off recent sharp dips even as the growth outlook and demand remains uncertain. On the New York Mercantile Exchange, crude oil for delivery in November traded at $87.77 a barrel, up 0.22%. Overnight, U.S. oil futures dropped to the lowest level since April 2013 after data showed that U.S. stockpiles rose far more than expected last week. Brent oil settled down 0.8% at $91.38 a barrel on ICE Futures Europe Wednesday, the lowest settlement price since June 28, 2012. The U.S. Energy Information Administration said in its weekly report that U.S. crude oil inventories increased by 5 million barrels in the week ending October 3, compared to expectations for a gain of 1.6 million barrels. The report also showed that gasoline stockpiles rose by 1.2 million barrels, confounding expectations for a drop of 1.0 million barrels.
• Gold prices eased in early Asia on Thursday as investors noted a weaker growth outlook and took profits from earlier in the U.S. session. On the Comex division of the New York Mercantile Exchange, gold for December delivery traded at $1,220.30 a troy ounce, down 0.16%. Overnight, gold futures rose for the third consecutive session as investors digested the Federal Reserve minutes. The Federal Reserve’s debate on its interest rate guidance heated up last month, with several officials showing concern about misleading investors and pushing for a more data-dependent approach, according to minutes from its last policy meeting.
• U.S. natural gas futures were under pressure during early U.S. trade on Wednesday, as market players monitored near-term weather forecasts to gauge the strength of demand for the fuel ahead of Thursday’s closely-watched supply report. On the New York Mercantile Exchange, natural gas for delivery in November traded at $3.896 per million British thermal units during U.S. morning hours, down 6.1 cents, or 1.55%. Natural gas prices fell to a two- week low of $3.866 on Tuesday, before turning higher to settle $3.957, up 5.9 cents, or 1.51%.
• U.S. oil futures droppes to the lowest level since April 2013 on Wednesday, after data showed that U.S. stockpiles rose far more than expected last week. On the New York Mercantile Exchange, crude oil for delivery in November hit a session low of $86.86 a barrel, a level not seen since April 18, 2013.Prices recovered to last trade at $87.09 a barrel during U.S. morning hours, down $1.78, or 1.98%. A day earlier, Nymex oil futures lost $1.49, or 1.65%, to settle at $88.85, as worries about the strength of global growth drove prices lower.
TRADING STRATEGY :
- BUY GOLD ABOVE 1225 TGT 1229,1235 SL 1220
- SELL GOLD BELOW 1220 TGT 1216,1211 SL 1225