Live Spot Prices
Crude Oil ( MCX ) 3098 | Zinc ( MCX ) 198.75 | Copper ( MCX ) 421.25 | Crude Palm Oil ( MCX ) 514 | Maize ( NCDEX ) 1316 | Soybean Oil ( NCDEX ) 622.35 | Sugar M ( NCDEX ) 3659
 
Gold rallies on disappointing US data; potential reversal noted
Commodity Online | July 14 2017
UPDATED 21:14:47 IST

Crude Oil gains after EIA reports a stock draw

Base Metals drift lower as housing market weakens

MCX Natural Gas Aug17 down 1.01%; MCX Mentha Oil Aug17 up 1.74%

Top 3 Things to know in Commodity Markets today

India's Natural Rubber production in July increases

Gold pushed sharply higher today after data from the US showed that inflation remained steady and retail sales fell short of forecasts.

Retail Sales fell 0.2% in the previous month and core inflation declined to 1.6% on an annual basis along with a 0.2% drop in the previous month. Gold jumped to a high of $1232.05/oz from $1221.0/oz after the report. The disappointing figures today raise concerns over whether the Federal Reserve would be able to raise interest rates this year as the inflation measure – CPI is one of the key indicators the FED uses to gauge inflation, weaker than expected consumer spending also puts to doubt the FED view of a stronger economy. The dollar index fell off its highs quickly boosting bullion higher today.

CME Gold is trading at $1227.69/oz, up almost a percent currently.

On the daily charts, the yellow metal continues to remain in a bearish mode but the FED concerns of low inflation and a gradual pace of rate hike is likely to push prices higher. On the upside, a daily close above resistance at $1230.0/oz (Rs.28,020) could see early signs the bulls make a comeback and aim for $1270.00-$1290.00/oz (Rs.28,900-Rs.29,400) in the short term. On the downside, we maintain our supports at $1200.00/oz (Rs.27,300) and then further lower at $1175.00/oz (Rs.26,750) in the short term.

 

(Sam Nair is Head of Commodities Research, Celebrus Commodities Limited)

Commodity Arrivals Rate
Mustard Oil NR 10300.00
Coconut Oil 4 17700.00
Arecanut 8.7 25000.00
Sugar NR 4000.00

More

×