This document provides daily and weekly price levels for various commodities traded on the NCDEX and MCX exchanges in India, along with brief news updates on commodity market movements. Key points include:
- Daily and weekly price ranges for soybean, chana, jeera, castor seed, aluminum, copper, crude oil, gold, lead, natural gas, nickel, silver, and zinc on the NCDEX and MCX exchanges.
- News snippets on recent price movements for commodities like aluminum, crude oil, silver, gold, and natural gas attributed to factors like demand, inventories, and economic data.
- Updates on initiatives by NCDEX like surveys of customer needs and the adoption of new
4. ✍ MCX - WEEKLY NEWS LETTERS
Aluminium up by 0.2% on high demand
Aluminium futures edged higher by 0.23% to Rs 111 per kg on Tuesday after speculators
enlarged positions amid pick-up in demand at spot markets.
Furthermore, a firming trend in metal at the London Metal Exchange (LME) on fall in its
inventories supported the upside.
At the Multi Commodity Exchange, aluminium for delivery in February rose 25 paise, or
0.23%, to Rs 111 per kg, with a business turnover of 184 lots.
The metal for delivery in March also gained 20 paise, or 0.18%, to trade at Rs 111.95 per kg in
a turnover of 13 lots.
Firm trend in the metal at spot markets on increased demand from consuming industries and
firming trend at the LME influenced aluminium prices at futures trade here.
In the international market, aluminium rose as much as 0.5%, the first gain in four days at the
LME after inventories of the metal tracked by the exchange showed it had fallen to the lowest
since May 2009.
Crude oil
Crude oil held its mercurial nature in the past week as well while internal factors pressed very
high divergence amongst the two major international benchmarks, the ICE Brent and the
NYMEX WTI. As of weekly closing, WTI Apr contract was lower by 2% to $49.75 per barrel
while the Brent crude for same monthôs settlement advanced around 3.9% to $62.60 per barrel.
The divergence between the two oils was mainly due to comments from OPEC members which
called for gradual increase in oil demand while in the US crude mixed cues over economy and
negative weekly inventory report hurt.
Silver futures up by 0.5% on global cues
Tracking a rising trend in global markets, silver futures prices on 24-02-15 rose by Rs 184 to
Rs 36,383 per kg as speculators built fresh positions amid covering-up of short positions.
At the Multi Commodity Exchange, silver for delivery in March traded higher by Rs 184, or
0.51%, to Rs 36,383 per kg in business turnover of 518 lots.
On similar lines, the white metal for delivery in far-month May traded Rs 179, or 0.49%, higher
at Rs 36,735 per kg in a turnover of 31 lots.
In the international market, silver traded 0.3% higher at $16.38 an ounce in Singapore,
extending Monday's 0.6% gains.
It can be said, besides covering up of short positions by speculators, a firming trend in the
precious metals in the global market, supported the upside in silver futures here.
5. Gold
Gold advanced at Comex while locally gains came on Saturday as government refrained from
cutting down the import duty from current 10% levels. Unexpectedly the finance minister left
the import tax on the metal unchanged against broad expectations of a cut in the range if 2-4%.
Looking at cues from international markets, gold had a mixed week with FED comments
supporting along with Chinese cues. In the coming week, one of the major cues over economic
side which can drive good volatility in Bullion would be the important employment indicators
from the US. The Non-Farm payrolls data for which markets forecasts stand for a reading
around 235,000-245,000 monthly Job addition. This is the near the average reading for 2014
while moderately lower than 257,000 added in Jan. If we get a reading in the aforementioned
range, other than intraday volatility which the data tends to drive, we believe it would largely
be seen on positive footing supporting the bullish case for US Dollar and equities while act
negatively for Gold. Though demand from China which saw decent increase in last week may
support moderately, overall the commodity is likely to extend its bearish move. Also from India,
the import duty staying higher could act moderately negative over consumption and further add
weight on the commodity. We recommend selling the commodity on higher levels in next week.
Natural Gas
Natural Gas had a heavy fall in the past week a the commodity skid over 8% in NYMEX
markets to close near the $2.73 per MMBTU mark at NYMEX for April expiry NYMEX NG
Mar expiry contact at MCX was further lower by 9.7% to Rs 167 per MMBTU as locally
Rupee movement too hurt the commodity
NCDEX - WEEKLY NEWS LETTERS
The National Commodity and Derivatives Exchange (NCDEX) has appointed Pune-based
Grassroots, a strategic consulting firm, to conduct a survey on the expectations of customers.
Officials from Grassroots have already started meeting participants of the exchange, members,
etc, in this regard.
A report based on the survey is expected in the next couple of months.
ñAs Indiaôs largest pool of liquidity in agricultural commodities, our customers depend upon us
for a host of value-added services in warehousing, grading and assaying, commodity finance,
collateral management and e-registry. Every day, itôs our job to make every important aspect of
customer experience a little bit better. The annual customer service survey helps us with
insights on evolving customer expectations and the need to identify focused action areas so that
we continue to stay closely aligned to their business,ò said an NCDEX spokesperson.
6. This will be second such survey by the exchange. The survey carried out last year showed
customers sought an improvement in warehousing-related and technology issues.
NCDEX has been able to maintain its market share in the futures segment, though it has largely
remained agro centric. It has introduced a few innovative contracts in the gold category but
hasn't not able to improve its share in this segment. According to a member of the exchange
surveyed by Grassroots, NCDEX hasn't been able to avail of the opportunity thrown up by
regulatory restrictions on rival Multi Commodity Exchange till July last year.
The exchange's spokesperson clarified the survey wasn't aimed at increasing market share but
understanding customer needs better.
Of late, NCDEX has taken a slew of initiatives, including the launch of forward trading in
several commodities. Recently, it chose MillenniumIT's multi-asset and ultra-low latency
trading solution, Millennium Exchange, for its matching engine technology and Millennium
Surveillance to detect abnormal trading behaviour and promote integrity in its spot and
derivatives segments. Both products, based on MillenniumIT's Millennium Advanced Platform,
seek to support the firm's trading operations and ensure it meets the market's regulatory
requirements.
Refined soya oil up 0.2% on pick-up in demand
Refined soya oil prices on tuesday rose 0.20% to Rs 592 per 10 kg in futures trade today on
rising demand in the spot market.
At the National Commodity and Derivatives Exchange, refined soya oil for delivery in April
edged up by Rs 1.20, or 0.20%, to Rs 592 per 10 kg with an open interest of 1,03,270 lots.
Likewise, the oil for delivery in May traded higher by Re one, or 0.18%, to Rs 570.65 per 10 kg
in 90,490 lots.
Besides pick-up in demand in spot market, restricted supplies from producing belts mainly led
to the rise in refined soya oil prices at futures trade.
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