INTERNATIONAL COMMODITY NEWS :
• Gold prices eased in Asia early Wednesday on profit-taking, but remain well supported on the civil strife in Iraq. Overnight, gold futures rose on fears the ongoing Iraqi insurgency will escalate, threaten U.S. recovery by dragging Washington deeper into the crisis and weaken the dollar, which trades inversely from the precious metal. On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at $1,319.70 a troy ounce, down 0.12%, after hitting an overnight session low of $1,314.60 and off a high of $1,326.60.
• Silver for September delivery was down 0.58% at $21.975 a troy ounce. Copper futures for September delivery were up 0.10% at $3.144 a pound.
• Crude oil prices gained smartly in Asia on Wednesday on Iraq tension, shrugging off an industry report that showed a solid gain in U.S. crude stocks. On the New York Mercantile Exchange, West Texas Intermediate crude oil for delivery in August traded at $107.11 a barrel, up 1.01%, after hitting an overnight session low of $105.28 a barrel and a high of $106.46 a barrel.
• Brent oil on the ICE futures exchange rose 0.3% to $114.46 a barrel with the spread with West Texas Intermediate widening by 48 cents to $8.43 a barrel.
• Natural gas futures bounced higher on Tuesday after bottom fishers snapped up nicely-priced positions on the notion that a break in a heat wave that could curb demand for air conditioning could be short-lived. On the New York Mercantile Exchange, natural gas futures for delivery in August traded at $4.529 per million British thermal units during U.S. trading, up 1.35%. The commodity hit a session high of $4.534 and a low of $4.453. The August contract settled down 1.85% on Monday to end at $4.468 per million British thermal units.
•Base metals settled for mixed price trends during Tuesday’s LME pre-market session, generally consolidating after the previous’s days more definitive pattern, when several set multi-week highs as short-term sentiment picked up. The copper price, which hit $6,900 on Monday, was trading at a comfortable $6,879, down a modest $6 from the previous close. In warehouse stocks data, inventories fell a net 850 tonnes to 157,725 tonnes, the lowest again since August 2008. The aluminium price was again holding station under $1,900, trading at $1,891, up $1. Inventories dropped 5,150 tonnes to a new 18-month low of 5,072,125 tonnes. There was a big 88,625-tonne jump in cancelled warrants to 3,032,500 tonnes, the highest level ever. The zinc price was hovering not far off the $2,200 level, trading at $2,191, up $7, with stocks falling 2,075 tonnes to 671,250 tonnes, a fresh low since December 2010. Sister metal lead held at $2,182, a $5 advance, with a modest 50-tonne fall in inventories to 192,525 tonnes. The nickel price drifted to $18,219 from a previous $18,425, with stocks climbing 786 tonnes to 305,388 tonnes, close to recent all-time highs of 305,970 tonnes. Tin business at $22,500 was a mere $25 lower, with stocks unchanged at 10,845 tonnes.
TRADING STRATEGY :
GOLD-COMEX has closed @ 1311.76. If it breaks the level of 1309, it can touch the level of 1302 & 1292 respectively. If it sustain above the level of 1326, it can touch the level of 1333, 1343 respectively.
- SELL GOLD-COMEX BELOW 1309 TGTS 1302, 1292 SL 1319.
- BUY GOLD-COMEX ABOVE 1326 TGTS 1333, 1343 SL 1316.