Gold futures ended lower on Wednesday as the dollar strengthened against a basket of major currencies. Yellow metal prices further declined as ADP employment data for August estimated private-sector payrolls rose by 237,000 compared a consensus estimates of 185,000. Meanwhile, the Commerce Department raised its estimate of second-quarter GDP growth to an annual rate of 3% from 2.6% previously, beating economists’ forecasts of 2.8%.
Crude oil futures continued the weakness on Wednesday, as flooding from Tropical Storm Harvey continued to batter US refinery capacity, offsetting data showing U.S. supplies of crude oil fell for a ninth-straight week. Refinery operations along the Texas coast may be interrupted for weeks, limiting the demand for crude oil. Meanwhile, the US Department of Energy reported a bullish 5.4 million barrel draw in crude inventories over the past week. It was the ninth-straight week of falling crude inventories. Gasoline inventories, rose by roughly 35,000 barrels, while distillate stockpiles rose by 748,000 barrels, confounding expectations of a decline of 846,000 barrels.
Copper futures ended lower from a multi-year high after positive US GDP data enlivened the dollar, placing pressure on the entire base metals complex. Reports showing that the Gross domestic product, a broad measure of the goods and services produced across the US, rose at a seasonally and inflation-adjusted annual rate of 3% in the second quarter.
Technical Level
Gold
Below 29450 panic remain continue till 29300—29200 else could touch its resistance level of 29650 again.
Fresh buying can be initiated above 29650
Silver
Support at 39450 and Resistance 39850
Break and sustain below 39450 will take it to 39100--38900 mark else could touch its resistance level of 39850
Fresh buying can be initiated above 39850
Crude
Support at 2935 and Resistance at 3000
Break and sustain below 2935 will take it to 2880--2850 mark, else could touch its resistance level of 3000
Fresh buying can be initiated above 3000
Natural Gas
Support at 187 and resistance at 192
Trading in range either side breakout with volumes will decide further.
Economic Data
06:00 P.M Unemployment Claims: Previous 234K, Expected 237K, Actual??
Increase in Unemployment claim – will have negative impact on dollar index and positive impact on bullion or vice versa.
08:00 P.M Natural Gas Storage: Previous 43B, Expected 33B, Actual??
Increase in Natural Gas Storage – will have negative on natural gas prices or vice versa.
More will update soon!!
