INTERNATIONAL COMMODITY NEWS :
- Gold prices inched lower on Tuesday, as market players started looking ahead to the Federal Reserve’s upcoming policy meeting later this month.While investors widely expect the Fed to raise rates at its December 15-16 meeting, they anticipate the pace of increases to be gradual. A gradual path to higher rates is seen as less of a threat to gold prices than a swift series of increases.
- Oil prices inched up on Tuesday, but held near the previous session’s seven-year lows amid a global supply glut. On the ICE Futures Exchange in London, Brent oil for January delivery tacked on 32 cents, or 0.79%, to trade at $41.05 a barrel during European morning hours. A day earlier, London-traded Brent sank to $40.60, a level not seen since February 2009, before ending at $40.73, down $2.27, or 5.28%
- Copper prices swung between small gains and losses on Tuesday, as the latest trade figures out of China added to concerns over the health of the world’s second-biggest economy, while also pointing to strong demand for the red metal.Chinese exports slumped 6.8% from a year earlier in November, worse than forecasts for a decline of 5.0%, while imports dropped 8.7%, compared to expectations for a tumble of 12.6%. That left China with a surplus of $54.1 billion last month, down from $61.6 billion in October.
ECONOMY NEWS :
- China and Russia will sign nuclear energy, aviation and space deals next week during a visit to China by Russian Prime Minister Dmitry Medvedev, a senior Chinese diplomat said on Tuesday.Medvedev will be in China to attend a summit of prime ministers from the Shanghai Cooperation Organization, a Chinese and Russia-lead security block, in the central Chinese city of Zhengzhou.
- The slowing world economy looks set to get a boost from stronger consumer demand next year, as low inflation boosts the real value of workers’ pay rises to a three-year high, a survey said on Tuesday.A plunge in oil prices has pushed inflation sharply lower, and means real wages are predicted to rise by an average of 2.5 percent globally in 2016, the study by human resources firm Korn Ferry Hay Group showed.
- UK house prices declined 0.2 percent in November from October, when it grew 1 percent, survey data from the Lloyds Banking Group’s Halifax division showed Tuesday. Prices in the three months to November advanced 9 percent from same period a year earlier compared to a 9.7 percent rise in three months to October. The annual growth was expected to slow slightly to 9.5 percent. During September to November, house prices climbed 1.4 percent from the preceding three months. This was the smallest rise since December 2014.
TRADING STRATEGY :
- BUY GOLD ABOVE 1075 TARGET 1080 1086 SL 1069
- SELL GOLD BELOW 1070 TARGET 1065 1059 SL 1075