INTERNATIONAL CURRENCY BUZZ :
- Natural Gas prices extended gain over 1 per cent on Friday at the Multi Commodity Exchange (MCX) as traders widened their position tracking a rally in the energy commodity internationally as forecasts for cooler weather across the eastern parts of the US next week raised hopes of a pickup in gas-fired heating demand in the world’s biggest fuel consuming nation.
- U.S. oil futures touched new highs for 2016 on Friday and were set to post gains for a fifth straight week on growing optimism that major producers would strike a deal to freeze output, while a more benign interest rate environment also supported prices.U.S. crude (CLc1) was up 3 cents at $40.23 barrel at 0653 GMT, after rising to as much as $40.55 – higher than the previous peak of $40.36 reached on Thursday.
- Gold slid lower in European morning hours on Friday, but remained within close distance of a one-year high as sentiment on the U.S. dollar remained vulnerable after the Federal Reserve’s most recent policy statement. On the Comex division of the New York Mercantile Exchange, gold futures for April delivery were down 0.43% at $1,259.60.
ECONOMY NEWS :
- The Philippines’ financial system is facing a risk because of the $81 million that was stolen by hackers from the New York Fed account of Bangladesh’s central bank and then transferred to Manila, the country’s central bank governor said on Friday.”If you look at the behavior of the financial markets over the last several days there has been no indication that there is a negative impact. But we have to recognize there is a risk,” Amando Tetangco told reporters.
- The European Central Bank can cut interest rates again if the euro zone’s economy fails to pick up and, under extreme circumstances, it might even consider printing money and giving it out directly to people, its chief economist said in a newspaper interview published on Friday.The ECB upset investors last week when its president, Mario Draghi, said he did not expect further rate cuts, raising questions about his pledge in 2012 to do “whatever it takes” to save the euro.
- An international review by creditors of Greece’s reform program is advancing and it could be wrapped up by May 1, the head of the European Stability Mechanism (ESM) rescue fund told the Swiss newspaper Neue Zuercher Zeitung.”There is progress but it is too early to say when exactly the review will conclude,” Klaus Regling was quoted as saying in an interview, adding that the ESM assumed Greece would need “significantly less” than the 86 billion euros ($97 billion)being discussed for a third assistance program.
TRADING STRATEGY :
- BUY GOLD ABOVE 1265 TARGET 1270 1280 SL 1253
- SELL GOLD BELOW 1248 TARGET 1243 1233 SL 1255