INTERNATIONAL COMMODITY NEWS :
- Gold prices edged higher in European morning hours on Friday, as weakness in the U.S. dollar continued after the minutes of the Federal Reserve’s latest policy meeting gave little indication on the timing of a rate hike.On the Comex division of the New York Mercantile Exchange, gold futures for December delivery were up 0.08% at $1,145.40.The December contract ended Thursday’s session 0.38% lower at $1,144.30 an ounce.Futures were likely to find support at $1,136.30, the low from October 6 and resistance at $1,152.90, the high from October 7.
- Crude oil prices edged higher in Asia on Friday as Fed signals that rates will stay on hold and moves afoot to trim output help. On the New York Mercantile Exchange, WTI crude for November delivery rose 0.23% to $49.55 a barrel.Overnight, crude futures surged more than 3% on Thursday to reach fresh monthly highs, as energy traders continued to digest bullish comments from OPEC Secretary-General Abdalla Salem El-Badri on robust global demand growth over the next year.
- Copper futures were up 1.50% at Rs 344.95 per kg today as speculators enlarged bets, largely in step with a firming trend in base metals at the London Metal Exchange (LME).At Multi Commodity Exchange, copper for delivery in November rose Rs 5.10, or 1.50%, at Rs 344.95 per kg, in a turnover of 4,681 lots. Metal for delivery in far-month February next year also rose Rs 4.80 to trade at Rs 350.60 per kg, with trade volume of 86 lots.
ECONOMY NEWS :
- International Monetary Fund chief Christine Lagarde said on Thursday the global lender might push ahead with interim steps to give emerging markets a bigger say despite a stalemate in the U.S. Congress over approval of broader governance reforms. IMF policymakers have said they will come up with ideas on how to push ahead with reform by mid-December. La-garde said time was slipping by.
- UK deficit on trade in goods fell to GBP 11.1 billion from GBP 12.2 billion in July, the Office for National Statistics reported Friday. It was expected to fall to GBP 9.9 billion. Exports of goods climbed GBP 0.8 billion to GBP 23.6 billion. The increase was attributed to a GBP 0.6 billion growth in shipment of cars to a record high GBP 2.4 billion. Meanwhile, imports fell GBP 0.3 billion to GBP 34.7 billion.
- The U.S. Federal Reserve thought the economy was close to warranting an interest rate hike in September but policymakers wanted firmer evidence a global economic slowdown was not knocking America off course.The minutes from the Sept. 16-17 meeting released on Thursday pointed to a deeply cautious Fed even before subsequent economic data showed a sharp slowdown in hiring by U.S. employers.
TRADING STRATEGY :
- BUY GOLD ABOVE 1158 TARGET 1163 1169 SL 1152
- SELL GOLD BELOW 1145 TARGET 1140 1134 SL 1152