INTERNATIONAL COMMODITY NEWS :
• Gold prices eased in Asia on Thursday even as the dollar weakened slightly in intraday trade.On the Comex division of the New York Mercantile Exchange, gold futures for February delivery fell 0.49 to trade at $1,228.50 a troy ounce.Overnight, gold rose to the highest levels of the session on Wednesday, after data showed that retail sales in the U.S. fell more than expected in December, dampening optimism over the strength of the economic recovery. U.S. Commerce Department said that retail sales declined by a seasonally adjusted 0.9% last month, worse than expectations for a drop of 0.1%. Rising retail sales over time correlate with stronger economic growth, while weaker sales signal a declining economy.
• World oil prices had their biggest surge in two-and-a-half years on Wednesday, rebounding from a nearly six-year low as traders turned away from the bearish pressures of a worldwide glut to cover themselves on expiring options.U.S. and Brent crude staged blistering $2 rallies in the final half-hour of trade as dealers with options exposure scrambled to square their positions. Oil had earlier traded steady to lower following data showing that U.S. crude oil stockpiles rose far more than expected last week.Most dealers saw the late-day rebound as a temporary correction in the seven-month slump that wiped more than 60 percent off of oil prices, reluctant to call the bottom of a rout that has repeatedly defied forecasts of a floor.U.S. government data showed crude stocks rose 5.4 million barrels, more than 10 times what analysts had expected. Inventories at the Cushing, Oklahoma, delivery hub for the U.S. futures contract, rose 1.8 million barrels.
• U.S. natural gas prices soared on Wednesday, as investors reacted to a cooler shift in weather patterns.On the New York Mercantile Exchange, natural gas for delivery in February hit a session high of $3.118 per million British thermal units, the most since January 5, before trading at $3.107 during U.S. morning hours, up 16.4 cents, or 5.57%. Futures were likely to find support at $2.795 per million British thermal units, the low from January 13, and resistance at $3.176, the high from January 5.Updated weather forecasting models indicated that temperatures over the central U.S. would not be as warm as previously predicted, boosting near-term demand expectations for the heating fuel.
TRADING STRATEGY :
- BUY GOLD ABOVE 1233 TARGET 1238 1244 SL 1227
- SELL GOLD BELOW 1225 TRAGET 1220 1214 SL 1231