Gold futures ended lower on Thursday, as investors focused on the next set of U.S. data to see whether it supports expectations that the Federal Reserve will raise US interest rates before the end of the year. The Fed two-day policy meeting is scheduled to be held at September 20-21. Yellow metal prices further declined as the dollar strengthened against a basket of major currencies.
Crude oil futures made some recovery on Thursday and nudged higher, taking back some of this week's significant losses, as the outlook for global demand improved a bit as stocks rallied on speculation the Federal Reserve will keep interest rates low through the year. But there was persisting concern about the possibility of a sharp increase of the supply from Libya that kept the prices under check. Libya is working to lift force majeure at its port of Zueitina, indicating that Libyan crude exports could start flowing soon.
Copper futures ended higher on Thursday amid better demand prospect from China, the world’s biggest consumer of industrial metal, following the release of optimistic Chinese data that showed China's bank lending more than doubled in August from the previous month. Encouraging signals out of China's housing market and indications of a revival in its factory sector over the summer have stoked views that demand is quietly cranking up for the third quarter. Copper prices improved further on dollar’s weakness against basket of major currencies after lacklustre US economic data, which further reduced already-low expectations for a Federal Reserve interest rate hike next week. Copper also advanced as global stockpiles on the London Metal Exchange, Comex and Shanghai Futures Exchange declined for a third straight day, the longest losing streak since July 26.
Soybean futures edged lower on NCDEX due to a higher yield forecast coupled with higher edible oil imports and lower export demand for soymeal. However, some losses were capped by reports of crop damages in largest producer of soybean in the country, Madhya Pradesh due to wet weather condition.
Technical Levels
Gold
Support at 30800 and Resistance at 31050.
Break and sustain below 30800 will take to 30630---30550. Further downside panic will see only close above 30550 mark else it could test its resistance level of 31050
Close above 31050 will take to 31200 and then to 31380---31550
Trade with levels only
Silver
Support at 45300 and Resistance at 45850
Close below 45300 will take it to 45000---44700 and then to 44200—43800 mark else could test its resistance level of 45850.
Further upside rally will see only if closes above 45850.
Trade with levels only
Crude oil
Support at 2890 and Resistance at 2970. Weekly close below 2890 will see sharp downside panic till 2600--2450 mark in days to come else it can touch resistance level of 2970.
Fresh buying only above 2970.
Trade with levels only
Copper
Support at 321 and Resistance at 327
Close below 321 will take to 316--312. Further downside panic will see only close above 312 else it could test its resistance level of 327.
Further upside rally will see only close above 327 mark
Trade with levels only
Soyabean
Support at 3180---3150 and Resistance at 3270.
Close above 3270 will take to 3350---3420 mark else it could test its support level of 3180---3150 again.
Further downside panic will see only close below 3150
Trade with levels only
