INTERNATIONAL COMMODITY NEWS :
- Silver prices plunged by Rs 195 to Rs 38,312 per kg in futures trade today as speculators cut down their bets, taking weak cues from global market.At the Multi Commodity Exchange, silver prices for delivery in May traded sharply lower by Rs 195, or 0.51%, to Rs 38,312 per kg, in a business turnover of 354 lots.Similarly, the white metal prices for delivery in far-month July slumped by Rs 167, or 0.43%, to Rs 38,900 per kg, in a business volume of 10 lots.
- Gold prices rose on Monday, buoyed up by increased investor demand for safe haven assets as oil prices tumbled after a weekend meeting of major producers ended without an agreement on curtailing production.U.S. gold futures for June delivery were up 0.34% at $1,238.6 an ounce by 0945 GMT.
- Crude oil prices plunged in Asia on Monday as major oil producers gathered in Doha, Qatar failed at the weekend to reach an agreement to freeze production.The producers—Saudi Arabia, Russia, Kuwait, and other OPEC members, but not including Iran—met most of the day but broke up toward evening without a deal. Saudi Arabia had insisted there could be no agreement unless Iran froze production, too.
ECONOMY NEWS :
- The mission chiefs of Greece’s lenders are set to resume talks in Athens after progress made in recent days towards concluding a review of Greek reforms, the European Commission said on Monday.”Following constructive talks in Washington, the mission chiefs are returning to Athens today and tomorrow. The aim of the mission remains to conclude the first review of the program as soon as possible,” a Commission spokesman told a news conference in Brussels.
- China’s leaders sound more confident that the world’s second-largest economy has arrested a slide in growth to quarter-century lows, but their policy advisers caution it is too early to call an end to a cycle of easing that began in 2014.Signs the economy is picking up give the central bank room to keep its policy powder dry for now so it has the ammunition later to cope with any possible shocks from domestic economic restructuring and expected U.S. rate rises, the policy insiders said.
- Tokyo is sticking with plans to raise the sales tax next year, barring a financial crisis or a major natural disaster, Prime Minister Shinzo Abe said on Monday, without saying whether two deadly quakes in southern Japan qualified as such as disaster.The tremors on the southern island of Kyushu on Thursday and Saturday have caused at least 42 deaths and disrupted production at major manufacturers including Toyota Motor Corp (T:7203) and Sony Corp (T:6758).
TRADING STRATEGY :
- BUY GOLD ABOVE 1240 TGT 1245 1251 SL BELOW 1234
- SELL GOLD BELOW 1230 TGT 1225 1219 SL ABOVE 1236