Nickel Inventories Has Increased By 26.5 Percent Since 2013

Nickel.......

Nickel inventories have increased by 26.5 percent till date on LME. The rise in inventories is basically due to increase in production and a stage where Nickel will transform into surplus from deficit. International Nickel Study Group (INSG) has suggested that the World Nickel markets will be in surplus of 90000 tonnes in 2013. World Nickel markets were in surplus of 110000 tonnes in 2012. World primary Nickel production is expected at 1.86 million tonnes in 2013, up 5.7 percent from 2012. Primary Nickel usage is expected to increase by 7.3 percent to 1.77 million tonnes. LME inventories have seen a jump of 26.5 percent to 177036 tonnes till 30 April 2013 from 139908 tonnes on 31 Dec 2013. These are all time high levels of inventories of Nickel. The rise in inventories has been more or less in every base metal after the consumption rate of China has come down. LME Nickel was bid at $ 15414 per tonne, up $ 44 per tonne. On MCX, prices of near month Nickel were under pressure due to strength in Rupee against the Dollar. MCX Nickel was trading at Rs 834.4 per kg, down 0.84 percent. MCX Nickel support is at Rs 825 per kg. Source by Commodity Insights

Economic Buzz: Japan Industrial Production Shows Modest Upturn In March

Industrial Production in March increased 0.2% from the previous month, showing an increase for the fourth consecutive month. It showed a decrease of 7.3% from the previous year. The index in March was 89.8(seasonally adjusted). Production and Shipments increased, Inventories and Inventory Ratio decreased. According to the Survey of Production Forecast in Manufacturing, Production is expected to increase in April and to decrease in May. Industrial Production shows signs of picking up at a moderate pace.

According to the Survey of Production Forecast in Manufacturing, Production is expected to increase 0.8% in April and to decrease 0.3% in May.
Source by Commodity Insights

MMG Limited Q1 13 Copper Production At 42535 Tonnes Up 48 Percent From Q1 12

Copper.....

MMG Limited continued to demonstrate improvements to mine productivity, with three operations achieving MMG ore mining records during the first quarter 2013. Chief Executive Officer Andrew Michelmore said, “MMG is committed to improving the productivity of our operations, illustrated by these record movements in ore mined and continuing improvements in Asset Utilisation.” Production and cost guidance for 2013 has been maintained for all commodities across all sites, with the exception of copper production at Golden Grove. Sepon mined 1.2 million tonnes of copper ore in the first quarter, a 36% increase on the previous quarter, while Kinsevere and Golden Grove moved 87% and 22% more ore respectively. This follows quarterly record ore movements achieved at Rosebery and Century in the previous quarter. Kinsevere also achieved milling and production records for the quarter following improvements in power supply reliability and electrical integrity. Kinsevere produced 13,910 tonnes of copper cathode in the first quarter, a 14% increase compared to the prior quarter. “We are pleased with the excellent results being delivered by Kinsevere, only a year after MMG's acquisition of the operation. We look forward to delivering strong results as we focus on sustaining nameplate capacity in line with our guidance,” said Mr Michelmore. Total copper production for the first quarter 2013 of 42,535 tonnes was 7% below the fourth quarter 2012 but 48% above the same period in 2012 due to the inclusion of Kinsevere and improved production at Sepon. Copper cathode production at Sepon was 13% lower than the previous quarter due to a planned shutdown involving scheduled maintenance of the copper processing plant. Golden Grove copper production decreased 20% compared to the fourth quarter 2012 due to slower than expected ramp-up of processing copper oxide ore from the new open pit. Total zinc production for the first quarter 2013 of 126,396 tonnes was 26% lower than the fourth quarter 2012, largely due to lower grade at Century as it begins to progress through the final stages of the mine plan. Century concentrate sales were also impacted by delays to the shipment schedule due to the replacement of a rudder on MMG's transfer vessel, the MV Wunma. Further improvements will be undertaken at Century to sustain the higher throughput rates and recoveries necessary for the operation to achieve its future production targets. Rosebery zinc production was in line with all comparable periods, however lower head feed grade and recovery resulted in lower gold doré and copper production. Source by Commodity Insights

LME Inventories Data- 29 April 2013

Source by Commodity Insights

Gold Advances Further In Europe

Gold......

Gold futures

advanced further in the early Europe session today as the US dollar continued to loose steam in wake of Friday’s weaker-than-expected economic-growth number and caution ahead of what is expected to be a busy week of data and monetary-policy decisions.

The advance came as the dollar extended its fall in Asia on Monday, with the ICE dollar index a measure of the greenback’s performance against six major global currencies — sliding to 82.326 by mid-afternoon in Hong Kong, compared with 82.484 in North America late on Friday.

Gold futures for delivery in June are up $19.1 to $1,472.7 an ounce on the Comex division of New York Mercantile Exchange. The bounce comes after prices retreated $8.40 in a regular session on Friday. The metal recorded gains of more than 4.2% last week, for its first advance in five.

The coming week will bring another set of key U.S. indicators, including a government report on consumer spending on Monday, the consumer confidence index on Tuesday, monthly trade figures on Thursday, and the crucial non-farm payrolls data for April on Friday. April manufacturing indicators are also set for release from the U.S., China and the euro zone.

Furthermore, the Federal Open Market Committee monetary-policy decision is due Wednesday, while the European Central Bank is expected by many economists to cut interest rates by a quarter-point on Thursday.

MCX June bullion futures are trading up Rs 30 at Rs 27229 per 10 grams. The traders may buy it at current levels with target of Rs 29290 and Rs 29350 levels with stop loss of Rs 29190.

Source  by Commodity Insights

Commodities Buzz: Sesa Goa Iron Ore Operations Affected By Mining Suspension

Sesa Goa Iron ore operations were affected by the suspension of mining in Goa and Karnataka. On 18 April 2013, the Honourable Supreme Court of India has given clearance for resumption of mining operations for A and B category mines in Karnataka subject to statutory clearances.

Sesa Goa's Karnataka mine falls under B category, and is awaiting statutory clearances, including forest clearance which expired in October 2012, to resume mining. We expect to commence mining shortly, subject to the grant of statutory clearances.

Regarding the suspension of mining in Goa, the date for initial hearing is yet to be fixed by Honourable Supreme Court of India. In the meantime, the State Government and major miners including Sesa Goa, have filed their responses to the Central Empowered Committee report. Separately, we have filed an application to the Supreme Court seeking a stay on the suspension of mining and restrictions on ore transportation.

In Q4, production of pig iron and metallurgical coke were 75% and 48% higher at 104,000 tonnes and 94,000 tonnes, respectively, due to the new capacities commissioned in Q2 FY2013. For the full year, the production of pig iron and metallurgical coke grew by 24% and 29% respectively.

Power sales were 43 million units in Q4 and 159 million units for the full year. Power sales are not comparable with the previous periods in view of Goa Energy Limited acquisition in March 2012, and the commissioning of new 30 MW power plant.

Source by Commodity Insights

Weekly Bullions Wrap Up: COMEX Gold Contract Rises By $ 58 In A Week

Gold.....

COMEX Gold has recovered by 4.1 percent 0r $ 58 per troy ounce in the week to closed at $ 1453.6 after testing a low of $ 1321.5 per troy ounce on 16 April 2013. Gold recovered the most in ten months as a heavy rush to purchase the metal shooted the value. Speculators and traders believed that the slide in Gold was too much too fast and therefore they are cashing opportunities to further average Gold at lower levels. Chinese economic growth and calls that Cyprus will sell its Gold holdings resulted in dumping of Gold from higher levels.
The investment demand was a big question that wiped $ 130 per ounce on a single day in Gold on 15 April 2013. Data of jobless claims from US was on a positive side. US Department of Labour said that the jobless claims in US declined to 339000 last week, a level not seen since January 2008. This indicated that the risk appetite in the commodities will improve in days to come. Supporting the yellow metal was the rise in Euro against the US Dollar. The greenback ended the week at 1.3025 against the Euro.
Even after a recovery it is expected that higher levels might see fresh volatility as traders will be lured to book profits amid uncertainty from China and Eurozone. World biggest ETF, SPDR Gold holdings were at 1083.05 tonnes.
Source by Commodity Insights

Economic Buzz: U.S Economy Grows 2.50% In Q1

Real gross domestic product, the output of goods and services produced by labor and property located in the United States increased at an annual rate of 2.5 percent in the first quarter of 2013 (that is, from the fourth quarter to the first quarter), according to the "advance" estimate released by the Bureau of Economic Analysis. In the fourth quarter, real GDP increased 0.4 percent. Analysts had expected U.S. gross domestic product to rise 3.0% in the last quarter.
The increase in real GDP in the first quarter primarily reflected positive contributions from personal consumption expenditures (PCE), private inventory investment, exports, residential investment, and nonresidential fixed investment that were partly offset by negative contributions from federal government spending and state and local government spending. Imports, which are a subtraction in the calculation of GDP, increased.
The Bureau emphasized that the first-quarter advance estimate released on Friday is based on source data that are incomplete or subject to further revision by the source agency. The "second" estimate for the first quarter, based on more complete data, will be released on May 30, 2013.
Source by Commodity Insights

Gold Flattens Ahead Of GDP

Gold.....
Gold futures flattened ahead of the US GDP data due later in the session today. In the Asia session the metal was trading steady above $1470 levels as the dollar was trading lower.
European stock markets were on track to break a five-day winning streak on Friday, with investors staying cautious ahead of a closely watched report on U.S. economic growth in the first quarter. The Stoxx Europe 600 index dropped 0.6% to 295.23, after putting in its longest winning streak of the year on Thursday.
In the early Europe trading hours, gold for June delivery is trading flat at $1,462 an ounce. After having a bloodbath last week, the metal is about to close the week with the gains of nearly 5%.
Thursday’s session was a standout, with the June contract jumping $38.30, or 2.7%, to $1,462 an ounce. A weaker U.S. dollar has also helped gold prices rise after a massive selloff that’s left them down by more than 8% this month.
The dollar on Friday was lower against key rivals before the release of the first-quarter gross domestic product report.
Bank of Japan held off announcing any new policy measures at its first meeting since unveiling a huge stimulus package this month aimed at stoking the limp economy. In a brief, two-paragraph statement the central bank said its widely expected decision to stand pat was reached by a unanimous vote by its board.
Earlier Friday, data released showed Japan's core consumer prices, which exclude volatile prices of fresh food, fell 0.5 per cent on-year in March, highlighting the tough task ahead for the bank and the government.
MCX June bullion are trading above Rs 27000 per 10 grams. It should find a support near Rs 26870 levels and resistance near Rs 27250 levels.
U.S. economic activity will come into focus Friday, with the Commerce Department slated to release its first-quarter GDP report later Friday at 8:30 a.m. Eastern time.
Source by Commodity Insights

Economic Buzz: Bank Of Japan Stands Pat

Bank of Japan held off announcing any new policy measures at its first meeting since unveiling a huge stimulus package this month aimed at stoking the limp economy.
In a brief, two-paragraph statement the central bank said its widely expected decision to stand pat was reached by a unanimous vote by its board.
Earlier Friday, data released showed Japan's core consumer prices, which exclude volatile prices of fresh food, fell 0.5 per cent on-year in March, highlighting the tough task ahead for the bank and the government.
This month, the central bank's new management team - hand picked by Prime Minister Shinzo Abe - embarked on a new era of huge spending by announcing a massive stimulus plan to drag the economy out of decades of stagnation.
At his first meeting as BoJ governor Haruhiko Kuroda, a staunch critic of the previous BoJ's efforts to kickstart the economy, said he would double the money supply and vowed no let-up in the fight against deflation that has hit private spending and corporate investment.
The also bank pledged to meet a two per cent inflation target within two years, a key aim of a government. The US dollar sank against the yen in Asia after the Bank of Japan's announcement.
Source by Commodity Insights

Zinc Markets Will Be In Surplus Of 273000 Tonnes In 2013- ILZSG

Zinc.......

Zinc markets are expected to remain in surplus of 273000 tonnes in 2013. The International Lead and Zinc Study Group (ILZSG) has forecasted that the total mine production of Zinc in the world will be 13.92 million tonnes, up 2.3 percent. In China, markets are expected to grow a bit slow due to oversupply situation. China mine output is expected to grow by 4.7 percent.
Refined Zinc metal production of Zinc is expected to reach 13.25 million tonnes, which is up by 5.2 percent from last year. China Zinc production is expected to increase by 9.7 percent. Refined metal production in Europe is expected to improve by 1.9 percent after restart of Porto Vesme refinery.
Global refined Zinc usage is expected to move up by 5.2 percent to 12.98 million tonnes in 2013. China usage is expected to grow by 6.8 percent. This will be majorly driven by infrastructural investment in central and western provinces and demand in automotive and machinery. European demand is expected to increase by 1.7 percent. US Zinc usage is expected at 2.9 percent.
LME three month Zinc prices are at $ 1927 per tonne, up $ 10 per tonne. MCX Zinc was trading at Rs 102.6 per kg, up 0.63 percent. The prices tested a low of Rs 102.5 per kg. LME Zinc tested a high of Rs 103 per kg.
Source by Commodity Insights

Gold Steady But Resistance Seen

Gold.......

Gold futures are trading steady in the early European session today, however it may face a resistance near $1450 an ounce levels.

European stock markets headed for a fifth straight day of gains on Thursday, with investors increasingly hoping for a rate cut at the European Central Bank's policy-setting meeting next week after a disappointing string of data.

Investors will receive weekly U.S. jobless claims data later Thursday. Reports on first-quarter gross domestic product and consumer sentiment in April are slated for release Friday.

Gold for June delivery is trading higher by $20 to $1,443 an ounce in mid electronic trading hours. The metal should face a resistance near $ 1450-55 levels.

The weak US economic data also supported the metal. On Wednesday, the contract rose $14.90, or 1.1%, on the Comex division of the New York Mercantile Exchange. The gain came as orders for U.S. durable goods fell by a seasonally adjusted 5.7% in March

The generally soft data followed reports that manufacturing activity slowed toward the end of the first quarter, reinforcing worries about sluggishness in the broader U.S. economy.

MCX June gold futures are trading near Rs 26650 levels. The counter is expected to face a resistance near Rs 26700 levels today and it has a good support near Rs 26400 levels.

Source by Commodity Insights

Shanghai Zinc Recovers Sharply In Intraday, LME Zinc Up $ 14

Zinc......

Shanghai Zinc futures recovered sharply upwards on Thursday and settled at 14690 yuan per tonne up 135 yuan per tonne. The recovery in counter last night on LME paved way for gains in metals after the Chinese markets opened. It is to be noted that the Shanghai Zinc is trading above LME Zinc prices. LME Zinc three month delivery was trading at $ 1914 per tonne on Thursday, up $ 14 per tonne. Inventories of Zinc in LME have declined by 11 percent to 1086550 tonnes. Zinc futures on MCX were trading at Rs 102.2 per kg, up 0.05 percent. The prices are resisted at Rs 102.75 per kg. Support for the contract is at Rs 101.3 per kg. Zinc was in surplus of 290000 tonnes in whole of 2012, as per estimates of WBMS. On a cumulative basis, Zinc markets recorded a surplus of 138700 tonnes in January-February 2013 compared to a surplus of 139500 tonnes in the corresponding period last year. Source by Commodity Insights

Commodities Buzz: 41st IPC Meeting To Held In Malaysia In November

As per the latest updates from the International Pepper Community, the Ministry of Plantation Industries and Commodities, Government of Malaysia has confirmed to host the 41st Session and Meetings of the IPC in Kuching, Sarawak, Malaysia from 11th - 13th November 2013. The 41st Session and Meetings of IPC will include the following meetings.
• Meeting of Heads of Pepper Exporters Associations / Commodity Boards
• Business Session
• Peppertech Meeting (Technical)
• Meeting of Heads of Delegations
• Pepperexim Meeeting (Exporters and Importers Meeting) and
• Plenary Session

IPC welcomes suggestions and inputs from the pepper/spice players on the trade/ quality/ research related issues which are of interest to the pepper and spice industry for inclusion in the agenda of the above meetings. The IPC and the Malaysian Pepper Board are also making arrangements to have a Pepper and Spice Exhibition for showcasing the pepper and value added products produced by the pepper exporters and manufacturers from the IPC member countries as well as machinery manufacturers of different countries. IPC is finalizing the agendas for the above Session and Meetings and will be made available shortly in the IPC website for access by pepper / spice players from producing and consuming countries.
 

Source by Commodity Insights

Gold Steady But Resistance Seen

Gold......

Gold futures are trading steady in the early European session today, however it may face a resistance near $1450 an ounce levels.

European stock markets headed for a fifth straight day of gains on Thursday, with investors increasingly hoping for a rate cut at the European Central Bank's policy-setting meeting next week after a disappointing string of data.

Investors will receive weekly U.S. jobless claims data later Thursday. Reports on first-quarter gross domestic product and consumer sentiment in April are slated for release Friday.

Gold for June delivery is trading higher by $20 to $1,443 an ounce in mid electronic trading hours. The metal should face a resistance near $ 1450-55 levels.

The weak US economic data also supported the metal. On Wednesday, the contract rose $14.90, or 1.1%, on the Comex division of the New York Mercantile Exchange. The gain came as orders for U.S. durable goods fell by a seasonally adjusted 5.7% in March

The generally soft data followed reports that manufacturing activity slowed toward the end of the first quarter, reinforcing worries about sluggishness in the broader U.S. economy.

MCX June gold futures are trading near Rs 26650 levels. The counter is expected to face a resistance near Rs 26700 levels today and it has a good support near Rs 26400 levels.

Source by Commodity Insights

Aluminium Recovers For The Second Day

Aluminium......

Aluminium recovered for the second straight day as traders started to build some long positions after a debacle this week. Heavy correction in the metals has increased speculation for buying in metals. LME three month Aluminium delivery contract was trading at $ 1911 per tonne, up 0.52 percent. In coming days, the prices have resistances at $ 1950 and $ 2000 per tonne levels. On the lower side, it is free to move towards $ 1800 per tonne and $ 1700 per tonne levels. Indian Aluminium for April expiry was trading at Rs 102.4 per kg, up 0.35 percent. The prices are expected to rally towards Rs 102.95 and 103.5 per kg. Support for the metal is at Rs 101.9 per kg. The prices of LME Aluminium dropped to a eight month low this week. Heavy production increases in the world and lower demand appetite of China bombarded the metal to eight month lows of $ 1841.5 per tonne in April. The inventories in LME warehouses are almost near 5.2 million tonnes This is the reason that one has seen decline in world Aluminium production in last three months though from previous year levels the production is still up. Significantly high inventories are making life tough for markets. Source  by Commodity Insights

Gold Drops In Europe Session

Gold......

Gold futures dropped in the European session today after trading moderately higher in the Asia trading hours. The metal again tripped lower following the weak china manufacturing data. Gold for June delivery fell $11.1 to $1,410.1 an ounce on the Comex division of the New York Mercantile Exchange. In Asian trading, gold reached $1,426.40 an ounce, its highest level since April 12. On Monday it marked the third consecutive session of advances, rising $25.60, or 1.8%, to $1,421.20 an ounce. The gain came as figures from the Commodity Futures Trading Commission’s Commitments of Traders report suggested big traders, including hedge funds and commodity trading advisors, reduced their bets for a fall in gold prices. Gold prices last week lost 7%, and face a drop of roughly 11% in April. On Tuesday, data from HSBC showed Chinese manufacturing-activity growth slowed in April. The preliminary or “flash” version of HSBC’s manufacturing Purchasing Managers’ Index fell to a two-month low of 50.5 from March’s final reading of 51.6. Citing China concerns and bearish indicators, Goldman Sachs on Monday cut its three-, six- and 12-month copper forecasts following a heavy selloff over the past two months. May copper futures on Tuesday fell 4 cents, or 1.2%, to $3.09 a pound, extending Monday’s loss of 0.6%. MCX June gold futures are trading down nearly Rs 150 at Rs 26217 per 10 grams. It should face a resistance near Rs 26500 levels and support around Rs 26150 and Rs 26000 levels. Powered by Commodity Insights

Copper Roughed Further After China Reports Frail PMI

Copper....

LME Copper

three month prices and MCX Copper for April delivery was roughed up by bears after a grim set of Purchase Manager's Index (PMI) numbers from China. The negative tone in metals was further grilled by the losses reported by Caterpillar. Copper tested a 33 month low of $ 6832 per tonne on London Metal Exchange (LME) on Tuesday.

On MCX, Copper for April expiry contract was trading at Rs 370.95 per kg, a level not seen since October 2011. The prices tested a low at Rs 366.8 per kg and a high of Rs 374.1. The prices are expected to slip towards Rs 365 per kg today.

Machinery maker Caterpillar showed sharp decline in profits after being affected by weak mining and construction demand. The company reported a decline of 45 percent in the first quarter earnings demand.

Earth moving equipment maker posted a net income of $ 880 million in the first three months of 2013. The company has warned that the conditions in mining business have declined considerably. The state of affairs in mining globally has been affected by slowdown in demand.

Source  by Commodity Insights

Copper Tests 18 Month Low On LME

Copper...

Copper three month delivery in LME was expected to stabilize in the first session of new week but that was not the case. Instead, prices of copper derailed to test 18 month low in the markets. LME copper three month prices were last seen trading at day's low of $ 6913.7 per tonne.

The anxiety of copper demand getting further muted after the earthquake in China is high. Chinese demand was already lackluster which after the earthquake is likely to move back further. China will be releasing its Purchase Manager's Index tomorrow which can soften copper further.

LME copper had crashed by more than 5 percent last week which was its biggest weekly fall in more than a year. Inventories are at multi year highs in copper barring today when a mild decline was noted. Total inventories have increased by 93 percent in 2013 to 613075 tonnes.

Meanwhile, Goldman Sachs today lowered its forecast of Copper for three month, six month and year. Goldman Sachs expects Copper to remain at $ 7500 per tonne in its three month estimate compared to $ 8000 per tonne. Copper six month view has been changed to $ 8000 per tonne from $ 9000 per tonne. Copper 12 month outlook has changed to $ 7000 per tonne from $ 8000 per tonne.

Among other metals, Aluminium was in surplus of 552000 tonnes in whole of 2012, as per World Bureau of Metal Statistics (WBMS). On a cumulative basis, Aluminium markets recorded a surplus of 317100 tonnes in January-February 2013, down 2.4 percent compared to a surplus of 324900 tonnes in the corresponding period last year.

The closing stocks of Aluminium at the end of February were 7.36 million tonnes, up 0.22 percent from the year ending 2012 when stocks were 7.36 million tonnes.

The LME Aluminium prices slipped below $ 1900 per tonne levels and tested a low of $ 1877 per tonne not seen since August 2012. Decline below $ 1900 has opened gates from where it can go anywhere to $ 1800 per tonne provided the conditions in financial markets remain as they are.

Nickel toppled to a low of $ 15226 per tonne, down $ 80 per tonne from last night on account of slowdown in stainless steel demand. World nickel markets were in surplus of 6000 tonnes in the month of February 2013, as compared to a surplus of deficit of 3100 tonnes in January 2013. Nickel was in surplus of 130400 tonnes in whole of 2012. On a cumulative basis, nickel markets recorded a surplus of 2800 tonnes in January-February 2013.

Indian Copper futures were trading at Rs 373 per kg, down 0.81 percent. The metal tested a low of Rs 368 per kg. Medium term support for the contract is at Rs 356 per kg while long term resistance for contract is at Rs 378 per kg.

Source  by Commodity Insights

Commodities Buzz: Supreme Court Gives Clearance For Sesa Goa To Resume Mining Operations

Vedanta Resources informed through a release that Supreme Court of India has given clearance for resumption of mining operations for A and B category mines in Karnataka subject to statutory clearances, vide its order dated 18 April 2013. Sesa Goa's Karnataka mine falls under B category, and we are in the process of securing the necessary statutory clearances to resume mining shortly. Mr. PK Mukherjee, MD, Sesa Goa Ltd., said, "We welcome this order, and are working towards resuming our mining operations in Karnataka." Source  by Commodity Insights

World Aluminium Production Up 2.5 Percent In February 2013- WBMS

Aluminium........

World Bureau of Metals Statistics (WBMS) has come up with its numbers for major metals. The agency has said that World Aluminium markets were in surplus of 120100 tonnes in the month of February 2013, down 26 percent compared to a surplus of surplus of 95400 tonnes in January 2013.

Aluminium was in surplus of 552000 tonnes in whole of 2012. On a cumulative basis, Aluminium markets recorded a surplus of 317100 tonnes in January-February 2013, down 2.4 percent compared to a surplus of 324900 tonnes in the corresponding period last year. The closing stocks of Aluminium at the end of February were 7.36 million tonnes, up 0.22 percent from the year ending 2012 when stocks were 7.36 million tonnes.

World primary Aluminium production in February 2013 was 3.866 million tonnes, up 2.5 percent from 3.96 million tonnes in January 2013. In January-February 2013, World mined Aluminium production was 7.87 million tonnes, up 6.2 percent compared to 7.41 million tonnes in January-February 2012.

China refined Aluminium production in January-February 2013 was 3.52 million tonnes, up 13 percent from 3.10 million tonnes in January-February 2012. China produced 44 percent of total Aluminium produced in the world. China production of refined Aluminium in February was 1.73 million tonnes, down 2.8 percent from January 2013.

Refined production of Aluminium in US was 326400 tonnes in January-February 2013, down by 5.6 percent from similar period last year. Production in February was down to 155300 tonnes compared to 171000 tonnes in January 2013.

Refined production of Aluminium in EU27 was 430500 tonnes in first two months of the year, up 8.3 percent than 397500 tonnes in first two months of January-February 2012.

Meanwhile, World refined Aluminium consumption was 7.48 million tonnes in first two months of the year, up 6.6 percent from 7.02 million tonnes in January-February 2012. Chinese refined Aluminium consumption was 3.48 million tonnes in January-February 2013, up 11 percent from 3.13 million tonnes in January-February 2012. China consumed 46.5 percent of total Aluminium consumed in the world.

Refined consumption in US increased by 14 percent to 831700 tonnes in January-February 2013 compared to 725900 tonnes in similar period last year. Consumption of EU 27 was 998200 tonnes in January-February 2013, down 3 percent from 1.02 million tonnes in January-February 2012.

Source by Commodity Insights

MCX Gold Seen Adding Up To Latest Gains

Gold.....

MCX Gold futures are expected to open on a firm note in the evening trades as the international prices continued to edge higher after the frantic sell off in last few days. The global equities added good gains and a generalized sort of rebound were witnessed in major commodities after the massive losses endured in last one week. COMEX Gold is quoting at $1414 per ounce, up $22 per ounce on the day. Prices have been managing to hold above $1400 today. The global finance policymakers are in talks. Finance ministers and central bank officials from the Group of 20 major economies are meeting in Washington for a second day today. Earlier in the week, the IMF noted that extraordinarily loose monetary policy risks sparking credit bubbles, which threaten to tip the world back into financial crisis. In its global financial stability report, the fund cautioned that further policy reforms were needed urgently to restore long-term health to the financial system before the long-term dangers of monetary stimulus materialised. The IMF also noted that the global financial crisis could morph into a more chronic phase, marked by a deterioration of financial conditions and recurring bouts of financial instability. In the short term, however, the fund is more upbeat. The fund noted that spring has arrived to global financial markets where after very rainy days and threatening clouds and that we are beginning to see some blue skies and more sunny days. Meanwhile, the global equities are up today, adding decent gains in Asia and Europe. Euro is lingering just under 1.3100 levels against the US dollar-not much of a deviation from its recent range. MCX Gold futures for June rose in intraday moves yesterday but backed off from highs near Rs 25900 per 10 grams, up very modestly on the day. The counter closed at Rs 25700 per 10 grams and could be expected to add to the gains in last session. Excellent buying is emerging in local retail markets as prices consolidate around Rs 26500 levels for standard gold. Source  by Commodity Insights

World Zinc Markets Were In 82200 Tonnes Surplus In February Says WBMS

Zinc.....

World Bureau of Metals Statistics (WBMS) has come up with its numbers for major metals. The agency has said that World Zinc markets were in surplus of 82200 tonnes in the month of February 2013, as compared to a surplus of surplus of 56400 tonnes in January 2013.

Zinc

was in surplus of 290000 tonnes in whole of 2012. On a cumulative basis, Zinc markets recorded a surplus of 138700 tonnes in January-February 2013 compared to a surplus of 139500 tonnes in the corresponding period last year. The closing stocks of Zinc at the end of February were 1.936 million tonnes, up 0.4 percent from the year ending 2012 when stocks were 1.929 million tonnes.

World mined Zinc production in February 2013 was 1.03 million tonnes, up 1 percent from 1.044 million tonnes in January 2013. In January-February 2013, World mined Zinc production was 2.08 million tonnes, up 7.7 percent compared to 1.93 million tonnes in January-February 2012.

Refined Zinc production of Zinc was 1.05 million tonnes in February 2013, down 1 percent compared to 1.06 million tonnes in January 2013. Production of refined Zinc in January-February 2013 was 2.12 million tonnes, compared to 2.02 million tonnes in January-February 2012.

China refined Zinc production in January-February 2013 was 791000 tonnes, up 3 percent from 767100 tonnes in January-February 2012. China produced 37 percent of total Zinc produced in the world. China production of refined Zinc in February was 395500 tonnes, unchanged from January 2013.

Refined production of Zinc in Japan was 101000 tonnes in January-February 2013, down by 5000 tonnes from similar period last year. Production in February was down to 46000 tonnes compared to 55000 tonnes in January 2013.

Refined production of Zinc in EU27 was 341500 tonnes in first two months of the year, lower by 5.4 percent than 323900 tonnes in first two months of January-February 2012.

Meanwhile, World refined Zinc consumption was 1.98 million tonnes in first two months of the year, up 5.2 percent from 1.88 million tonnes in January-February 2012. Chinese refined Zinc consumption was 845600 million tonnes in January-February 2013, up 0.5 percent from 841600 tonnes in January-February 2012. China consumed 43 percent of total Zinc consumed in the world.

Refined consumption in US increased by 2 percent to 147500 tonnes in January-February 2013 compared to 144500 tonnes in similar period last year. Consumption of EU 27 was 287600 tonnes in January-February 2013, up 6 percent from 272000 tonnes in January-February 2012.

Source by Commodity Insights

Be Ready For Some More Selling In Copper Today

Copper........

Technical selling extended further as no respite in selling pressure aroused in Copper last night. Promulgation of bearishness among the commodities complex proved quite toxic for Copper and peers. Even as we write, London Copper three month prices are down by almost 3 percent and down to 33 months low at $ 6790 per tonne.

MCX Copper reached a level of Rs 379.7 per kg in the day and settled at Rs 381.4 per kg. The prices are expected to breach Rs 380 in the opening trades. These are 17 month low levels for Copper in India. Traders and speculators must be ready to sell further in today's trades looking at the carnage in international markets. Further drop down can take prices towards Rs 375 per kg.

Supply side worries coupled with reduced growth forecasts of World economic growth has tarnished the image of Copper to a large extent. Potential of oversupply is increasing day by day looking at the weak macro economic situation of China.

The largest consumer of metal China, is expected to reduce its reliance on imported metal on account of heavy inventories within the country which will take time to get consumed. This is because of the waning demand.

Warning signs by IMF was the major trigger in metals after the early jot from Chinese GDP data this month. International Monetary Fund (IMF) slashed its forecast for global growth to 3.3 percent in February from projection of 3.5 percent in January 2013.

Forecast for global growth in 2014 was lowered to 4 percent from 4.1 percent in earlier forecast. The forecast of China was lowered to 8 percent in February from 8.2 percent. Earlier this month, China National Bureau of Statistics showed that the GDP unexpectedly slowed down to 7.7 percent in first quarter of 2013, compared to 7.9 percent of GDP for final quarter of 2012.

According to preliminary statistics, the GDP totaled 11.89 trillion yuan or $ 1.9 trillion in the first three months. China's full-year annual growth in 2012 eased to 7.8 percent, its weakest since 1999.

Among other metals, Nickel cooled down by $ 395 per tonne on Wednesday and was seen further down by 1 percent or $ 155 per tonne at $ 15245 per tonne on Thursday. MCX Copper prices were down by 2.3 percent on Thursday, at Rs 833.6 per kg. The metal is expected to test Rs 823 per kg in today's trades.

Source by Commodity Insights

Gold Continues To Dwindle

Gold......

Gold futures tumbled again in the Asia electronic session today taking cues from the weak equity markets and crude oil and other metals. Most Asian markets declined Thursday as sentiment took hits from falling commodity prices and weak U.S. corporate results. Mainland Chinese and Hong Kong stocks were supported by economic data showing an improvement in foreign direct investment inflows and home prices in China. Foreign direct investment into China rose 5.65% in March from a year earlier to total $12.4 billion, the Ministry of Commerce said Thursday. The gain was well above the 1.44% average increase in FDI over the January-March period. Gold for June delivery is trading down $18 at $1364 an ounce on the Comex division of the New York Mercantile Exchange. Yesterday, it shed $4.70, or 0.3%, to settle at $1,382.70 an ounce. It touched a low of $1,365 as well as a high of $1,395.20. It settled lower Wednesday, failing at their earlier attempt at gains, as investors looking for shelter from the steep declines in the U.S. stock market favored the dollar over the metal as a haven. On Tuesday, gold rose $26.30, or 1.9%. The advancesfollowed two consecutive sessions of declines which stripped prices of more than $200 an ounce. Copper and silver futures also declined, with copper sinking almost 4% and silver logging its lowest close in about 18 months as the slowdown in China's growth continued to feed concerns over demand for the industrial metals. MCX June gold may open today's session near Rs 25600 levels with support around Rs 25450 and Rs 25300 levels. Fall in the gold prices is cheerful news for the Indian buyers at the time when the festive and wedding season kicks in. India celebrates Akshaya Tritiya, a key gold-buying festival, next month, while the wedding season will continue until early June. So far this month the Indian gold prices have come down more than Rs 4000 per 10 grams and the silver prices have dived nearly Rs 10000 or 19% so far in the month of April. Powered by Commodity Insights

Copper Recovers Following Better Housing Starts Data From US

Copper......

US acted as a savior for metals as its economic numbers were cheered by traders. Buyers were brought back in the markets after US reported that the housing starts rose to 1.036 million in the month of March from 0.939 million in the month of February 2013.

Industrial production data from US also overtook analyst's expectations. The Industrial production in US rose 0.4 percent in March unlike analyst's expectations of 0.2 percent. The production was higher than expected but lower from 1.1 percent in the month of February, which was ignored by the markets.

In another news, Glencore merger roadmap with Xstrata is certain after the Chinese Ministry of Commerce of the People's Republic of China (MOFCOM) cleared the deal worth $ 30 billion. The Antimonopoly law of China was the last hurdle in between the acquisition of Xstrata by Glencore.

The MOFCOM has said that the post merger ownership assets in Las Bambas Copper project of Peru must be sold before 30 September 2014 for pre determined price. Glencore will start the sale process and make a announcement for sale of its ownership interest. Along with this, Glencore will supply Copper to Chinese customers for the period of eight years from 1 January 2013.

Meanwhile, BHP Billiton nine month ending 31 March 2013 production report was released. The company said that Copper in concentrate production at Escondida increased by 61% during the nine month period ended March 2013.

Total Escondida copper production remains on track to increase by at least 20% in the 2013 financial year. BHP Billiton production increased by 15 per cent from the December 2012 quarter and reflected a temporary increase in the grade profile at Antamina.

LME three month Copper prices settled at $ 7250 per tonne, up $ 92 per tonne on Tuesday. MCX Copper settled at Rs 394.6 per kg. The prices are resisted at Rs 396.5 and 397 per kg. Supports for the contract are at Rs 388 and 385 per kg.

Source  by Commodity Insights

Lead Recovers Half of Its Losses In LME

Lead.....

After getting cornered by more than 3 percent on Monday, Lead has eradicated half of its losses on Tuesday as it pumped up by 1.2 percent. The LME three month Lead prices were seen trading at $ 1873.75 per tonne, against $ 1841 per tonne on Monday.

International Zinc Study Group (ILZSG) reported that the global Lead markets were in surplus of 8000 tonnes in January- February 2013. This was lower than 26000 tonnes surplus in January-February 2013.

Total production of Refined Lead was 1.683 million tonnes in January-February 2013 while the refined Lead consumption was 1.675 million tonnes in the same period.

On MCX, Lead April contract is trading at Rs 109.9 per kg, down 0.7 percent on account of recovery in Rupee against the US Dollar. The Indian Rupee was seen trading at 54.34 against the greenback, up 0.5 percent.

Source by Commodity Insights

Commodities Buzz: CME Group Ups Gold, Silver, Nat-Gas Future Margins

CME Group Inc. said it will raise the collateral requirements for trading in benchmark gold, silver and other precious metals futures contracts, effective at the close of business Tuesday.

The exchange operator said it also will increase margins to trade its benchmark natural-gas futures, also effective Tuesday.

Margins to trade benchmark Comex 100-troy ounce gold futures will be increased by 19%, CME said in a notice emailed late Monday. The margin to trade silver will increase 18%, palladium will increase 14% and platinum will increase 19%. Natural-gas futures will increase 5.6%

Futures exchanges like CME keep tabs on market volatility as they determine how much collateral, or margin, traders must deposit to back up trades. When markets like gold begin to rapidly swing, exchanges may decide that customers need a bigger cushion to cover changes to their positions.

Source by Commodity Insights

Economic Buzz: Indian Annual WPI Falls In March

The annual rate of inflation for India, based on monthly WPI, stood at 5.96% (provisional) for the month of March, 2013 (over March, 2012) as compared to 6.84% (provisional) for the previous month and 7.69% during the corresponding month of the previous year. Build up inflation rate in the financial year so far was 5.96% compared to a build up rate of 7.69% in the corresponding period of the previous year.
The official Wholesale Price Index for 'All Commodities' (Base: 2004-05 = 100) for the month March, 2013 rose by 0.2 percent to 170.6 (provisional) from 170.2 (provisional) for the previous month.Source by Commodity Insights

Economic Buzz: China GDP Falls In Q1 Of 2013

According to the preliminary estimation, the gross domestic product (GDP) of China in the first quarter of this year was 11,885.5 billion yuan, a year-on-year increase of 7.7 percent from 7.9% in the preceding quarter. Analysts had expected Chinese GDP to rise to 8.0%. The value added of the primary industry was 742.7 billion yuan, up by 3.4 percent; that of the secondary industry was 5,456.9 billion yuan, up by 7.8 percent; and that of the tertiary industry was 5,685.9 billion yuan, up by 8.3 percent.

In the first quarter, the gross domestic product went up by 1.6 percent on quarterly basis, after rising 2% in the last quarter.

Source by Commodity Insights

China GDP Growth Numbers Create Carnage In Metals

Metals....

Metals pack has been witnessing a bloodbath not seen since long time. The whole basket has opened considerably lower on the back of weak Chinese Q1 GDP numbers. China National Bureau of Statistics showed that the GDP unexpectedly slowed down to 7.7 percent in first quarter of 2013, compared to 7.9 percent of GDP for final quarter of 2012.

According to preliminary statistics, the GDP totaled 11.89 trillion yuan or $ 1.9 trillion in the first three months. China's full-year annual growth in 2012 eased to 7.8 percent, its weakest since 1999.

Indian Copper opened with heavy losses and after almost half hour of trading since opening was quoting at Rs 399 per kg, down 1.4 percent. The metal looks further prone to correct towards Rs 396-395 per kg during the day. The correction has been on account of weakness in London Metal Exchange prices. LME Copper three month prices were at $ 7427 per tonne, down $ 120 per tonne since last week.

Among other metals, galvanizing material Zinc is down by $ 7 per tonne in LME and was seen at $ 1870 per tonne. Indian Zinc was trading at Rs 99.8 per kg, down 1 percent from last week. Heavy imports in India and rising production levels are creating overcapacity of steel in the markets. Zinc is majorly used to galvanize steel. In China, overcapacity and strictness in property deals is dampening the prices. China is dumping its steel produce in other countries like India.

Nickel that is used to produce austenitic steel grades was trading at Rs 852 per kg, down 1.4 percent. LME Nickel was down by $ 159 per tonne at $ 15856 per tonne.

Powered by Commodity Insights

Economic Buzz: Japans Tertiary Index Rises In February

Japans tertiary industry activity index rose last month, official data showed on Thursday. The METI said that Japanese tertiary industry activity index rose to a seasonally adjusted 1.1% in the month of February, from -1.1% in the preceding month. Analysts had expected Japanese tertiary industry activity index to 0.0% last month.
Source by Commodity Insights

Economic Buzz: Japan's Tertiary Index Rises In February

Japan's tertiary industry activity index rose last month, official data showed on Thursday. The METI said that Japanese tertiary industry activity index rose to a seasonally adjusted 1.1% in the month of February, from -1.1% in the preceding month. Analysts had expected Japanese tertiary industry activity index to 0.0% last month.
Source by Commodity Insights

Economic Buzz: Indian IIP Index Slumps In Feb

The General Index for the month of February 2013 stands at 176.2 , which is 0.6 % higher as compared to the level in the month of February 2012 against 2.40% in January 2013. The cumulative growth for the period April - February 2012 - 1 3 over the corresponding period of the previous year stands at 0.9 % against 1% in April-Jan 2013.
The Indices of Industrial Production for the Mining, Manufacturing and Electricity sectors for the month of February 2013 stand at 124.0 , 190.9 and 140.5 respectively, with the corresponding growth rates of ( - ) 8.1 %, 2.2 % and ( - ) 3 . 2 % as compared to February 2013 . The growth of during the last month were(-) 2.9%, 2.7% and 6.4%. The cumulative growth in the three sectors during April - February 201 2 - 1 3 over the corresponding period of 20 11 - 1 2 has been ( - ) 2.5 %, 1.0 % and 4.0 % respectively.
Source by Commodity Insights

Commodities Buzz: Xstrata Koniambo Nickel Project Produces First Metal

Mining major Xstrata reported that the Koniambo Nickel Greenfield project in New Caledonia worth $5 billion, which has been under construction for the past six years has produced first Nickel metal.
First metal production signals the start of Koniambo Nickel as a multi-decade, tier one asset with long-term cash costs at the bottom of the second quartile. At peak production the mine will further cement New Caledonias position as one of the most important nickel producers in the world and provide steady employment for approximately 800 workers, with a focus on local employment, and indirect employment for thousands of others.
Ian Pearce, Chief Executive of Xstrata Nickel, said: �All components of the mining and smelting process have now been successfully tested, leading to production of metal from Line 1. The production of first nickel metal at Koniambo after six years of complex design and construction is a huge achievement and a source of great pride for all of our employees. We are on track to deliver the full production rate of 60,000 tonnes per annum by the end of 2014 as scheduled, while maintaining excellence in terms of environmental and safety performance at this world-class industrial complex.�
Source by Commodity Insights

Economic Buzz: U.S. Initial Jobless Claims And Continuing Jobless Claims Tumble

The U.S. Department of Labor said that the advance figure for seasonally adjusted initial claims was 346,000 for the week ending April 6, a decrease of 42,000 from the previous weeks revised figure of 388,000.
The advance number for seasonally adjusted insured unemployment during the week ending March 30 was 3,079,000, a decrease of 12,000 from the preceding weeks revised level of 3,091,000. The 4-week moving average was 3,079,250, an increase of 5,250 from the preceding weeks revised average of 3,074,000.
Source by Commodity Insights

Commodities Buzz: Kennecott Utah Copper Canyon Mine Experience Slide

Kennecott Utah Copper's Bingham Canyon Mine experienced a slide along a geotechnical fault line of its north eastern wall. Movement on the north eastern wall had accelerated in recent weeks and pre-emptive measures were taken to relocate facilities and roads prior to the slide. All employees are safe and accounted for. Mine operations are currently suspended while experts assess the extent of the slide and impact on operations.
Source by Commodity Insights

World Aluminium Production Needs To Be Controlled- UC Rusal

Aluminium.....

UC Rusal, which is the largest producer of Aluminium, is worried on the heavy rise in production in the world. The company's director has said that atleast 1.5 million tonnes of the Aluminium production must be removed to control the heavy rise of inventories in the warehouses.
Aluminium was benefitting from the financial deals that were reducing the supplies in the markets. But this has resulted in huge pile up of inventories in the LME warehouses that are now at 5205900 tonnes till 10 April 2013.
UC Rusal Director Oleg Mukhamedshin said that production cuts were required in order to control the rise in production that is expected to reach 50 million tonnes in 2013. Major Aluminium producers are already on a spree to cut production of Aluminium to stabilize the prices.
UC Rusal is planning to slash 300000 tonnes of production in 2013. Another Aluminium major ALCOA chopped the annual production of Aluminium by 531000 tonnes, or 12 percent.
LME three month Aluminium prices were down by $ 4 per tonne to $ 1908.5 per tonne. Aluminum was trading at Rs 102.9 per kg, unchanged from last night. The prices are Resisted at Rs 103.3 and 103.5 per kg.
Source by Commodity Insights

Coriander To Gather Some more Buying In the Near Term

Bullish trend might persist in coriander futures on the heels of weak arrivals in local mandies along with strong stockiest demand. The NCDEX coriander futures swelled by almost Rs 75 per quintal today.
As per market sources, the total daily arrivals of coriander were remained thin in local mandies due to restricted supply by cultivators at lower levels. The total daily arrivals of both Ramganj and Kota mandi were reported at around 50-60 thousand bags in the last trading, while the spot prices swelled by almost Rs 100-150 per quintal in the last day to trade around Rs 6500-7200 per quintal.
The team of commodityinsights.com projected that the total supplies of coriander in the coming year (2012-13) are likely to decline by almost 45% on the back of weak domestic production along with fragile carryover stocks. The total production of coriander in the coming year is estimated at 50-60 lakh bags (1 bag = 40 kgs) against 1.10 crore bags that was reported in the last year. This is mainly due to weak sowing acreage in the current year.
The NCDEX Coriander May futures increased by Rs 75 per quintal today to settle around at Rs 7612 per quintal in the last trading. The NCDEX contract added 5.30% positions in open interest indicating long positions by traders. Technically, NCDEX futures are likely to gather supports around 7540-7550 levels while resistances are likely at 7740-7750 levels in the near term.
Source by Commodity Insights

Oil Falls in Asia; OPEC Cuts Demand Forecast

Oil....

Crude oil futures extended losses in the Asia electronic session today as OPEC cut its demand for this year. However a smaller than expected rise in the inventories kept oil supported above $94 levels.
Oil production from the Organization of the Petroleum Exporting Countries fell by 170,000 barrels per day in March from a month earlier to 30.25 million barrels per day, according to a Platts survey of OPEC and oil industry officials and analysts released Wednesday. Output from Saudi Arabia was at 9.2 million barrels per day in March, unchanged from February, Platts said.
Overall, the March survey showed that OPECs oil production is running about 250,000 barrels per day above the cartels 30 million barrel-per-day production ceiling. OPECs next meeting is set for May 31 in Vienna. On Wednesday, the group cut its oil demand forecast for this year.
Crude supplies rose 300,000 barrels for the week ended April 5, according to the Energy Information Administration. That was much less than the 1.4 million-barrel climb expected by analysts polled by Platts.
Crude oil for May delivery is trading down 32 cents at $ 94.32 per barrel on the New York Mercantile Exchange. Yesterday, it settled at $94.64 a barrel, up 44 cents, or 0.5%.
MCX April crude oil futures may open today’s session near Rs 5130 levels with support around Rs 5100 levels.
Source by Commodity Insights

Commodities Buzz: Deutsche Bank Cuts Gold, Silver Forecast For 2013

Gold....

Deutsche Bank Tuesday cut its outlook on gold prices for this year and next, citing mounting headwinds from a strengthening dollar, improving U.S. growth and an increasing appetite for equities over commodities.
The bank reduced its 2013 average gold forecast by 11.8% to $1,637 a troy ounce, and trimmed its 2014 forecast 4.7% to $1,810/oz. Spot gold currently trades at around $1,574/oz on the European spot market.
Deutsche Bank also downgraded its view on silver prices for this year and next, reducing its 2013 forecast by 16.5% to $31/oz and its 2014 outlook by 10.1% to $34/oz.
Deutsche Bank also cut its base metal forecast for this year, based on its expectations for subdued global consumption growth.
For 2013, the bank cut its aluminum outlook by 4.2% to $2,035/ton; trimmed its copper outlook by 3.2% to $7,865/ton; cut its lead forecast by 1.6% to $2,152/ton; and reduced its nickel forecast by 5.1% to $16,844/ton. It also cut its tin outlook for this year by 3.2% to $22,146/ton and cut its zinc outlook 5.7% to $2,051/ton. Deutsche Bank also trimmed its 2014 forecast for aluminum, lead, nickel and zinc.
Source by Commodity Insights

Economic Buzz: China Posts Surprise Trade Deficit For March

China swung to a trade deficit of $880 million in March, the General Administration of Customs reported Wednesday, as imports surged 14.1% from a year earlier. The deficit followed Februarys $15.2 billion surplus. The gain in imports fell more than 15% in February. Exports rose 10% from March 2012. Chinese trade data have drawn recent skepticism from some analysts, who said ahead of Wednesdays numbers that recent trade numbers appeared to overstate exports, when compared with other data sets. Source by Commodity Insights

Gold Flat As Fed Minutes Loom

Gold.......
Gold futures are trading flat in the Asia electronic session today as the Fed meeting minutes of March 20 meeting loom.
Gold for June delivery are trading flat at $ 1586.7 an ounce on the Comex division of the New York Mercantile Exchange. Yesterday, it gained $14.20, or 0.9%, to settle at $1,586.70 an ounce.
It erased Monday’s 0.2% loss and prices marked their highest settlement since the first day of the month, when they closed above $1,600.
The dollar also slipped against the Australian dollar on Tuesday after Chinese consumer inflation data for March came in below expectations. The Aussie is sensitive to Chinese economic indicators as China is Australia’s largest trading partner.
On the data front today, China swung to a trade deficit of $880 million in March, the General Administration of Customs reported Wednesday, as imports surged 14.1% from a year earlier. The deficit followed February's $15.2 billion surplus. The gain in imports fell more than 15% in February. Exports rose 10% from March 2012.
For the week ahead, gold investors will be looking for minutes due Wednesday from the U.S. Federal Reserve's meeting on March 20, at which monetary policy makers decided to continue with its program of buying $85 billion a month in assets.
MCX June gold futures may open today’s session near Rs 29600 levels with resistance near Rs 29650 and support near Rs 29550-500 levels.
Source by Commodity Insights

Commodities Buzz: First Quantum Minerals Acquires Control Of Additional Zincore Metal Shares

First Quantum Minerals yesterday announced that it has indirectly acquired control of an additional 7820500 common shares in the capital of Zincore Metals Inc., representing 3.7% of the issued and outstanding Zincore Shares immediately following completion of such acquisition.
On March 21, 2013, First Quantum acquired control of Inmet Mining Corporation. Inmet holds 7,820,500 Zincore Shares representing 3.7% of the issued and outstanding Zincore Shares. Together with Zincore Shares indirectly held by First Quantum prior to its acquisition of Inmet.
First Quantum has control of 49,888,245 Zincore Shares, representing 23.7% of the issued and outstanding Zincore Shares. For purposes of calculating percentage of Zincore Shares controlled by First Quantum, First Quantum has assumed that there were 210,443,949 Zincore Shares outstanding prior to completion of the Acquisition, as disclosed by Zincore in its annual information form dated March 22, 2013.
Source by Commodity Insights

Crude futures move higher on bargain hunting

Oil.....

Crude oil futures moved higher on Monday after witnessing a sharp fall in the last session. There was some bargain hunting, while the traders were also supported by the gains in equity markets and supply concerns which resurfaced with developments in Nigeria. Sentiments were boosted by the gains in gasoline futures and strong selling of the spread between Brent crude and US crude.

In Nigeria, several policemen were killed in an ambush around the Niger Delta area. Nigeria’s oil output has reduced by more than 28 percent between 2006 and 2009 due to insurgency.

Benchmark crude oil futures for May delivery, gained $0.66 or 0.7 percent to close at $93.36 a barrel after trading in a range of $93.75 and $92.46 a barrel intraday on the New York Mercantile Exchange. In London, Brent crude for May settlement gained 54 cents, or 0.5 percent, to $104.66 a barrel on the ICE.

Source by Commodity Insights

LME Metal Prices- 8 April 2013

Source by Commodity Insights

US Gold Extend Gains, Local Prices Under pressure On Strong INR

Gold....

Gold futures extended the Friday's gains, with the prices gaining modestly in Monday's trading session, as investors continued to buy the precious metals after U.S. non-farm payroll figures indicated the Federal Reserve would keep its loose monetary policy in place for the indefinite future. Weak greenback also aided the upside in the precious metals.

Gold remained underpinned after the U.S. Department of Labor said Friday the economy added 88,000 jobs last month, the smallest increase since last June and far below forecasts for an increase of 200,000.The data also showed that the unemployment rate ticked down to 7.6% from 7.7% in February. The central bank previously stated that monetary policy will remain accommodative “at least as long” as the jobless rate remains above 6.5%.

On the Comex division of the New York Mercantile Exchange, gold futures for June delivery currently quotes at $ 1576.35, up $0.55 per ounce, easing from high of $1,580 level. Euro is holding at $1.31 level, up 0.16% from last close. Gold traders are awaiting the release of the minutes of the Federal Reserve's March policy meeting on Wednesday for further hints on the future of its monetary policy.

Local gold prices slipped on strong local currency amid weak global cues. Indian rupee slipped 0.50% to Rs 54.49 per USD. MCX Gold for the June delivery fell nearly Rs 150 or 0.50% to Rs 29,595 and the support is seen at Rs 29,550-29,460 and resistance at Rs 29,700-29,770 level. Silver for May delivery tumbled Rs 310 or 0.60% to Rs 51,212 per 1 kg.
 

Source  by Commodity Insights