WealthRays commodity outlook for this week.

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Weekly Commodity Report
WealthRays Research Desk
Weekly Commodity Report 22nd October, 2014
Precious Metals (Gold, Silver)
Technical Outlook:
Precious Metals showed good volatility throughout the 3 days of the week and positive mood among investors
kept the prices of Bullion near their 1 month highs
Fundamental Outlook:
 Global growth concerns increased the safe haven demand for Bullion during the week
 Retail buying was also strong for Gold ahead of Festive season in India
 Equity Markets are showing signs of recovery which could shift focus away from Bullion
 Dollar continues to hover at higher levels which continues to keep the pressure on Bullion
Overall Outlook: Gold and Silver Prices are expected to fall in the coming week as Equity Markets could make a
strong rally and dollar is expected to stay strong
Energy: (Crude Oil, Natural Gas)
Technical Outlook:
Crude Oil showed signs of rebounding during the week while Natural Gas Prices continued to look weak.
Fundamental Outlook:
 Global oversupply concerns continued to keep Crude Oil at lower levels during the week
 Volatile dollar index also kept pressure on Crude Oil Prices
 Crude Oil, however, bounced back slightly after Chinese GDP numbers which increased Chinese demand
 Natural Gas fell to new lows during the week due to warm temperature forecasts in USA
Overall Outlook: Crude Oil and Natural Gas Prices are expected to rebound during the coming week as position
build up is expected to happen at lower levels
Base Metals (Nickel, Copper, Lead, Zinc and Aluminum):
Technical Outlook:
Base Metals rebounded strongly from lower levels during the week but their upside remained limited
Fundamental Outlook:
 Strong recovery in Equity markets provided good support for Base Metals during the week
 Base Metals also received solid support from Chinese GDP numbers which was above estimates
 Copper prices recovered during the week due to softening of dollar and increase in Chinese demand
 Nickel Prices continued to stay at lower levels while Aluminium Prices gained on increase in demand in Japan
Overall Outlook: Base Metals are expected to recover in the coming week and strong Equity markets could
provide support.

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Weekly Commodity Report
WealthRays Research Desk
Weekly Commodity Report 22nd October, 2014
Agricultural commodity
Benchmark indices were seen strong this week, while the first session was seen week to flat. However, last two
sessions of the week were seen moving in positive directions. Due to beginning of rabi season and expectation of
lower acreage. NCDEX also saw similar movements. Today’s session was also seen positive in NCDEX where
almost all the commodities were seen up. Soyabean and jeera contracts were seen trading above 2.5%. MCX
moved in a range of 2003.37 and touched high of 2034.43. It was seen trading at 2033.54. India September CPI-AL
inflation falls to 30 month low of 6.85%.
Weekly Spices Outlook:
 Turmeric futures could be seen trading in negative after better sowing expectation in major producing states.
However prices could be limited due to decrease in the demand in spot.
 Jeera contracts are expected to trade in green on expectation of lower acreage for the spice this rabi season
which would see a long term rise in price. Increased exports would also add to the prices of Jeera. Record
output this season would keep the prices in check.
 Coriander is expected to trade in a range on account of festive demand and increase in the acreage would
limit the prices.
 Cardamom futures may trade higher due to firm export demand and improved buying from local stockists..
Weekly Edible Oil Outlook:
 Soya bean is expected to take cues from global trade as the Indian markets are suspended due to Diwali
holidays. Contracts are seen positive for Monday due to buying at lower level could be seen.
 Soya oil spot contracts are seen trading at premium of 2.5%, hence soya oil contracts could see some rise to
match up the spot price.
 Crude palm oil is expected to trade positive tracking firm cues from soya oil contracts. Higher output and
increased inventories would keep the upside limited. Weak exports from Malaysia may restrict the gains.
 Tracking positive cues from soya bean contracts mustard contracts could be seen trading up in coming
sessions. Falling stock of previous output and delay in sowing for new season could also support prices.
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Weekly Commodity Report
WealthRays Research Desk
Weekly Commodity Report 22nd October, 2014
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