Mumbai: Jeera spot and futures prices may remain steady-to-firm over the next few days on increased offtake by upcountry traders supported by lower carryover stocks and shortfall in the new crop expected in Gujarat.
Jeera March 2009 contracts at the National Commodity and Derivatives Exchange of India (NCDEX) were traded at Rs 11,240 a quintal on Thursday. Jeera June 2009 contracts prices on Wednesday resumed trading and quoted higher at Rs 11,940 a quintal up by nearly Rs 400 over benchmark contracts.
“The market is weather-driven. With the fog conditions in some parts of Gujarat, traders expect the crop to be lower by 10%-15% in 2009 on unfavorable weather conditions,” a local trader said.
Spot prices at the Unjha market yard are hovering around Rs 1,800-Rs 2,500 per 20 kg depending on quality.
“The overall crop of new jeera in Gujarat and Rajasthan is expected to be the same as last season. But this year the yield is believed to be lower than that of last year. New arrivals from Saurashtra have reached to 15,000-16,000 bags (each of 50-55 kg) daily. There are export enquiries from Dubai, so the export demand may remain steady,” Amrutbhai Patel, a leading dealer and president, chamber of commerce (Unjha) told FE.
New inflows from Rajasthan will commence in the next 15-20 days. The picture will be clearer about quality. Total crop is expected to around 28-29 lakh bags, Patel added.
There are lower stocks with exchanges and stockists in the domestic market.
“Jeera prices are likely to find support around 11,000 from where the overall upward trend is likely to resume. We continue to hold our bias up for the target of Rs 12,800 with reversal below Rs 10,800,” an analyst with Sharekhan Commodities said.
The new crop from Turkey, Iran, and Syria are to arrive in the markets only in July and August, which would also be supporting the price of Indian jeera, the analyst added. (source: financial express)
Saturday, February 28, 2009
FMC raps NCDEX on fall in SGF, violation of rules
The Forward Markets Commission (FMC) has taken a serious note of the mismanagement of financial affairs and diversion of funds made by the National Commodity & Derivatives Exchange Ltd (NCDEX) in the dealing and utilisation of the Settlement Guarantee Fund (SGF) which has violated regulatory rules.
The regulator also noted that NCDEX’s SGF had slipped below the minimum amount of Rs 5 crore as prescribed in the exchange’s own bylaws. The fund size was reduced to just Rs 5.05 lakh as on December 31 from Rs 24.87 crore between March 2004 and March 2006.
In a 20-page document released by FMC on the transaction charges levied by the exchange, it has examined the issue of reduced transaction charges and said in its finding that transaction charges may make only marginal difference in the choice of the exchange as far as market participation is concerned. The drastic cut in transaction charges cannot by itself bring an substantial jump in the volumes as expected by the exchange.
The commission has also rejected the two likely scenarios given by the exchange that could increase the volume of the exchange. Firstly, that the exchange was able to attract new clients who were so far not present in the market. Secondly, that the exchange was able to attract clients of other exchanges in the evening hours which would result in an increase of 30%-35% of the average daily trade value, i.e. 200% growth in turnover of the exchange in the evening hours.
“First of all, expecting a 200% rise in volume only on the strength of reduced transaction charges is highly impractical. Secondly, it would be incorrect to presume that such a potential shift in volume would go without any retaliatory action from competitors,” said the regulator. (source: financial express)
The regulator also noted that NCDEX’s SGF had slipped below the minimum amount of Rs 5 crore as prescribed in the exchange’s own bylaws. The fund size was reduced to just Rs 5.05 lakh as on December 31 from Rs 24.87 crore between March 2004 and March 2006.
In a 20-page document released by FMC on the transaction charges levied by the exchange, it has examined the issue of reduced transaction charges and said in its finding that transaction charges may make only marginal difference in the choice of the exchange as far as market participation is concerned. The drastic cut in transaction charges cannot by itself bring an substantial jump in the volumes as expected by the exchange.
The commission has also rejected the two likely scenarios given by the exchange that could increase the volume of the exchange. Firstly, that the exchange was able to attract new clients who were so far not present in the market. Secondly, that the exchange was able to attract clients of other exchanges in the evening hours which would result in an increase of 30%-35% of the average daily trade value, i.e. 200% growth in turnover of the exchange in the evening hours.
“First of all, expecting a 200% rise in volume only on the strength of reduced transaction charges is highly impractical. Secondly, it would be incorrect to presume that such a potential shift in volume would go without any retaliatory action from competitors,” said the regulator. (source: financial express)
Nafed to sell cotton on NSEL platform
Mumbai: The National Agricultural Cooperative Marketing Federation (Nafed) has decided to offer cotton through online spot trading system, the National Spot Exchange Ltd (NSEL). The federation has so far sold about 2,500 bales averaged around Rs 20,000 per candy valued at Rs 3 crore - Rs 4 crore through the online platform and may gear up for the sale from next week.
“The federation has so far procured total of about 35 lakh bales from states including Maharashtra, Gujarat and Andhra Pradesh. We will continue to sell cotton through all methods including online trading. Small buyers have a good option to buy through online platform as there is no competition on sales up to 10,000 bales,” said UKS Chauhan, managing director, Nafed said. This week, cotton sales has evoked good response as the major buyers in the contracts were Vardhman Mills, JG Spinning Mills, GIMA Textiles and exporter Ram Gopal Ramesh Kumar.
“The spot contracts in which sale transactions happened were Wani, Aurangabad and Nagpur delivery contracts. Since Nafed stock is lying at CWC (Central Warehousing Corporation) or SWC (State Warehousing Corporation) warehouses, the same warehouses have been designated as delivery centers of NSEL. Hence, Nafed does not incur any expenses on transportation; rather it is sold on ex-warehouse basis from existing locations,” Anjani Sinha, managing director, NSEL, said. NSEL has launched 11 contracts for Maharashtra, 3 contracts each for Gujarat and Andhra Pradesh.
“We have started participating in NSEL. We want to experiment with this new initiative. I believe the future of commodity trading lies in such electronic markets only.This will help us in reducing our cost of procurement as well as eliminating all counter party risks,” an official of a leading export house said. (source: financial express)
“The federation has so far procured total of about 35 lakh bales from states including Maharashtra, Gujarat and Andhra Pradesh. We will continue to sell cotton through all methods including online trading. Small buyers have a good option to buy through online platform as there is no competition on sales up to 10,000 bales,” said UKS Chauhan, managing director, Nafed said. This week, cotton sales has evoked good response as the major buyers in the contracts were Vardhman Mills, JG Spinning Mills, GIMA Textiles and exporter Ram Gopal Ramesh Kumar.
“The spot contracts in which sale transactions happened were Wani, Aurangabad and Nagpur delivery contracts. Since Nafed stock is lying at CWC (Central Warehousing Corporation) or SWC (State Warehousing Corporation) warehouses, the same warehouses have been designated as delivery centers of NSEL. Hence, Nafed does not incur any expenses on transportation; rather it is sold on ex-warehouse basis from existing locations,” Anjani Sinha, managing director, NSEL, said. NSEL has launched 11 contracts for Maharashtra, 3 contracts each for Gujarat and Andhra Pradesh.
“We have started participating in NSEL. We want to experiment with this new initiative. I believe the future of commodity trading lies in such electronic markets only.This will help us in reducing our cost of procurement as well as eliminating all counter party risks,” an official of a leading export house said. (source: financial express)
Hold gold: mantra for investors
Gold investment has traditionally been the preserve of a minority of investors buying it on futures exchanges or through bullion dealers. There has been an unprecedented surge in investment demand. Everybody spoke about a gold rush last week when the yellow metal jumped back above $1,000 an ounce on last Monday – not far off last spring’s record of $1,033 – before slipping back on profit taking, raising its gains to 45% since October.
Gold usually moves inversely to the dollar, but it has gained around 13% this year, despite the greenback rising by around 10% against the euro. It has hit new records in a range of currencies, including pounds, euros and Canadian and Australian dollars.
During the first two months of 2009, gold London spot rose to $989.75 at the end of February, up by 14% from $869 in early January 2009. Over the year as a whole, the gold price averaged $872, up 25% from $695 in 2007.
During the current month, gold prices reached near the psychological Rs 16,000-mark, attracting more scrap sales, as consumers chose to cash in on this rally while imports continued to slacken to zero.
Global retail investment in quarter four of 2008 jumped by almost 400%, with retail investors in France becoming net buyers of gold for the first time in 25 years. Indian consumers at the retail level invested an all time high figure of Rs 88,056 crore on gold in the calendar year 2008, as opposed to Rs 71,761 crore in 2007 - an increase of 22.7% over the previous year and 71% of this value went towards the purchasing of gold jewellery and 29% was towards investment products like gold bars and coins.
“Gold will not lose its value. I think investors should keep themselves open to acquire gold at every dip. A year from now we could see these prices as a bargain,” Prakash Jain, a bullion trader said.
As shares on stock markets around the world lost an estimated $14 trillion in value, identifiable investment demand for gold, which incorporates exchange traded funds (ETFs) and bars and coins, was 64% higher in 2008 than in 2007, equivalent to an additional inflow of $15 billion. A major shift was witnessed in gold buying from traditional jewellery to coins and bars.
“The global recession and financial crisis will hit the entire investment basket. Gold will be affected in its dual role of currency as well as commodity. Commodities across the board have fallen by more than 50% from highs. Gold would be affected to a lesser extent due to its characteristic of being a safe investment and a hedge against inflation. The physical demand for jewellery would reduce due to the current global economic conditions. Reduction in oil prices would reduce investment surplus for oil exporting nations, this would drive away another important investment group from gold,” Bhargava Vaidya, a leading bullion analyst said.
Inflows into gold exchange traded funds (ETFs) have continued to surge this year. The gold holdings of the world’s largest gold trust, the New York-listed SPDR Gold Trust has absorbed 10% of worldwide annual mine output in the past seven weeks.
At this rate, 2009’s ETF purchases would be enough to surpass the tonnage of jewellery bought last year, replacing jewellery as the top source of demand. It is now the world’s seventh-largest gold bullion holder, behind a handful of central banks.
“Gold is expected to develop a stronger trading link to the currency world as risk premia on money stabilise. Then, as the US fiscal and trade deficits get un-manageable, the weaker dollar could then help gold break through $1200/oz,” Gnanasekar Thaigrajan, director, Commtrendz Research said.
Gold jewellery demand globally fell by 6% to reach at 538.9 tonne in quarter four of 2008 from 570.3 tonne in the same quarter of 2007.
Gold in the year 2008 outperformed most of the asset classes and has provided a 32% return on investment in rupee terms for the year 2008, according to latest report of the World Gold Council (WGC).
The compounded annualised returns provided by gold in the last five years ending 2008 have been 19.54%. (10 year figure is 13.63%), the WGC report said. (source: financial express)
Gold usually moves inversely to the dollar, but it has gained around 13% this year, despite the greenback rising by around 10% against the euro. It has hit new records in a range of currencies, including pounds, euros and Canadian and Australian dollars.
During the first two months of 2009, gold London spot rose to $989.75 at the end of February, up by 14% from $869 in early January 2009. Over the year as a whole, the gold price averaged $872, up 25% from $695 in 2007.
During the current month, gold prices reached near the psychological Rs 16,000-mark, attracting more scrap sales, as consumers chose to cash in on this rally while imports continued to slacken to zero.
Global retail investment in quarter four of 2008 jumped by almost 400%, with retail investors in France becoming net buyers of gold for the first time in 25 years. Indian consumers at the retail level invested an all time high figure of Rs 88,056 crore on gold in the calendar year 2008, as opposed to Rs 71,761 crore in 2007 - an increase of 22.7% over the previous year and 71% of this value went towards the purchasing of gold jewellery and 29% was towards investment products like gold bars and coins.
“Gold will not lose its value. I think investors should keep themselves open to acquire gold at every dip. A year from now we could see these prices as a bargain,” Prakash Jain, a bullion trader said.
As shares on stock markets around the world lost an estimated $14 trillion in value, identifiable investment demand for gold, which incorporates exchange traded funds (ETFs) and bars and coins, was 64% higher in 2008 than in 2007, equivalent to an additional inflow of $15 billion. A major shift was witnessed in gold buying from traditional jewellery to coins and bars.
“The global recession and financial crisis will hit the entire investment basket. Gold will be affected in its dual role of currency as well as commodity. Commodities across the board have fallen by more than 50% from highs. Gold would be affected to a lesser extent due to its characteristic of being a safe investment and a hedge against inflation. The physical demand for jewellery would reduce due to the current global economic conditions. Reduction in oil prices would reduce investment surplus for oil exporting nations, this would drive away another important investment group from gold,” Bhargava Vaidya, a leading bullion analyst said.
Inflows into gold exchange traded funds (ETFs) have continued to surge this year. The gold holdings of the world’s largest gold trust, the New York-listed SPDR Gold Trust has absorbed 10% of worldwide annual mine output in the past seven weeks.
At this rate, 2009’s ETF purchases would be enough to surpass the tonnage of jewellery bought last year, replacing jewellery as the top source of demand. It is now the world’s seventh-largest gold bullion holder, behind a handful of central banks.
“Gold is expected to develop a stronger trading link to the currency world as risk premia on money stabilise. Then, as the US fiscal and trade deficits get un-manageable, the weaker dollar could then help gold break through $1200/oz,” Gnanasekar Thaigrajan, director, Commtrendz Research said.
Gold jewellery demand globally fell by 6% to reach at 538.9 tonne in quarter four of 2008 from 570.3 tonne in the same quarter of 2007.
Gold in the year 2008 outperformed most of the asset classes and has provided a 32% return on investment in rupee terms for the year 2008, according to latest report of the World Gold Council (WGC).
The compounded annualised returns provided by gold in the last five years ending 2008 have been 19.54%. (10 year figure is 13.63%), the WGC report said. (source: financial express)
Sunday, February 22, 2009
Oil palm smallholders in Indonesia to get sustainable farming training
Small-scale oil-palm farmers are being encouraged to go green, and will be provided with training on how to run their plantations without harming the environment, Achmad Mangga Barani, the director general of plantations said at the Ministry of Agriculture on Friday.
The passport to environmental approval is the Roundtable of Sustainable Palm Oil, or RSPO, certification. Previously, the endorsement had only been available to big plantation companies that could afford the training and environmental upgrades.
“We will start the training in March,” Achmad said. “Most farmers at present are handling their plantations in traditional ways, so it’s very important to heighten their awareness of RSPO certification.”
The roundtable was formed in 2004 by palm-oil producers, processors, traders, consumer-goods manufacturers, environmentalists and nongovernmental organizations, bankers, investors and other stakeholders with the aim of promoting the growth of sustainable products under responsible environmental conditions.
One of the concerns has been that although big companies had resources to reorganize their plantations to gain certification, smallholders, who own a total of 35 percent of the oil-palm hectarage in the country, would suffer by being unable to sell their produce for export without certification.
“After training, farmers must reorder the management of their plantations and then apply for certificates,” Achmad said. Given the high cost of certification, the ministry proposes to band smallholders into groups to request certification together. Auditing costs per hectare for certification range from $20 to $40, excluding the cost of modifying plantation practices.
RSPO certification involves eight general principles and 39 criteria, including the commitment to manage environmental and economic sustainability, and responsibility for natural resources and labor welfare.
Derom Bangun, vice chairman of the RSPO, said that aside from the nature issue, rumors in European Union countries that plantations in this country use child labor were disturbing
“Some say there are plantations that are employing children under the age limit and paying them very little,” he said. All of the stakeholders needed to be aware of the rumors and combat them, he said, in the effort to maintain exports to the EU and other countries.
Of nine major palm-oil companies controlling more than 2.9 million hectares around the country, only PT Musim Mas has gained RSPO certification. Five other companies — PT Hindoli, PT London Sumatera Tbk, PT Sime Indo Agro and PTPN III — are currently in the process, Derom said. (Source: thejakartaglobal.com)
The passport to environmental approval is the Roundtable of Sustainable Palm Oil, or RSPO, certification. Previously, the endorsement had only been available to big plantation companies that could afford the training and environmental upgrades.
“We will start the training in March,” Achmad said. “Most farmers at present are handling their plantations in traditional ways, so it’s very important to heighten their awareness of RSPO certification.”
The roundtable was formed in 2004 by palm-oil producers, processors, traders, consumer-goods manufacturers, environmentalists and nongovernmental organizations, bankers, investors and other stakeholders with the aim of promoting the growth of sustainable products under responsible environmental conditions.
One of the concerns has been that although big companies had resources to reorganize their plantations to gain certification, smallholders, who own a total of 35 percent of the oil-palm hectarage in the country, would suffer by being unable to sell their produce for export without certification.
“After training, farmers must reorder the management of their plantations and then apply for certificates,” Achmad said. Given the high cost of certification, the ministry proposes to band smallholders into groups to request certification together. Auditing costs per hectare for certification range from $20 to $40, excluding the cost of modifying plantation practices.
RSPO certification involves eight general principles and 39 criteria, including the commitment to manage environmental and economic sustainability, and responsibility for natural resources and labor welfare.
Derom Bangun, vice chairman of the RSPO, said that aside from the nature issue, rumors in European Union countries that plantations in this country use child labor were disturbing
“Some say there are plantations that are employing children under the age limit and paying them very little,” he said. All of the stakeholders needed to be aware of the rumors and combat them, he said, in the effort to maintain exports to the EU and other countries.
Of nine major palm-oil companies controlling more than 2.9 million hectares around the country, only PT Musim Mas has gained RSPO certification. Five other companies — PT Hindoli, PT London Sumatera Tbk, PT Sime Indo Agro and PTPN III — are currently in the process, Derom said. (Source: thejakartaglobal.com)
Tea sector to prosper in recession, say experts
Kochi: What do the people do in times of recession? Well, it seems that they sit more at home and drink tea, and drink more tea by shifting from Cola, Beer and Vodka, say commodity experts. And the penchant for tea in times of uncertainty and recessionary blues helps the tea industry. Perhaps, it may be the only sector and industry smiling and flourishing, while other markets shrink and crawl. Experts estimate it to grow handsomely in the years to come as people turn more health conscious.
In the US market, tea's appeal is immense and vibrant according to Joseph P Simrany of the Tea Association of USA. Import of tea into the US market is seen growing with green tea, in particular, growing by almost 200% in a decade. The total market has grown from $1.84 billion in 1990 to $7.3 billion in 2008. It is estimated to double in the next five years, Simrany said.
By the year 2012, the tea market in the US would be worth over $15 billion, he added. Traditional tea is expected to grow in the range of 2-3%,while the ready-to-drink segment is estimated to grow by 5-10%.
It has been observed that there is a ten-fold increase in specialty tearooms from 200 to 2,400. Even, traditional coffee houses are offering specialty tea, Simrany observed.
Marcus Wolf from Schroeder & Rudolph Hamann oHG of Germany also expects the market to stay in positive territory in the coming days. The demand for tea is seen increasing all over Europe with people lining up to buy or consume their tea. The per capita consumption of tea is estimated at 25 litres by the German Tea association. The large Turkish population aids German tea consumption.
Similar is the case of the UK market says Pradeep Jeyathilak of Unilever UK. "The only thing cheaper than tea is tap water. A cup of tea comes for 1.8 pence, while instant coffee retails for 3.9 pence and carbonated drinks cost 16. 5 pence," he said. During the last recession, 50% of the households claimed to spend less on eating out of home. It is seen that people sit at home and drink more tea, he added. The total UK market for tea has seen 2% growth in 2007 when compared to 2006 and 0.4% growth in 2008, when compared to 2007. Tea sales increased in the UK aided by its retail price relative to other drinks, its high level of home consumption and the emotional benefits, Pradeep Jeyathilak said.
Alexey Shvetsov of Ormi Traders, says that in Russia more consumers are shifting from Cola, beer and Vodka. "What else can people drink? People still dink tea as a healthy and traditional drink. And an obvious choice when you have less money is still tea," he said. The total import into Russia in 2008 is seen at 178.6 million kg. Shvetsov thinks that people may shift from premium varieties of tea to the less costly varieties if the crisis lingers. Consumers may also shift from relatively expensive tea bags to the loose packages, he added.
Other tea drinking nations like Egypt, Iran and Iraq are also reporting a growth in tea consumption.
Developed nations are shifting from traditional tea to the ready-to-drink segment and specialty teas, while the West Asian and Asian nations still prefer tea the traditional way. (Source: Financial Express)
In the US market, tea's appeal is immense and vibrant according to Joseph P Simrany of the Tea Association of USA. Import of tea into the US market is seen growing with green tea, in particular, growing by almost 200% in a decade. The total market has grown from $1.84 billion in 1990 to $7.3 billion in 2008. It is estimated to double in the next five years, Simrany said.
By the year 2012, the tea market in the US would be worth over $15 billion, he added. Traditional tea is expected to grow in the range of 2-3%,while the ready-to-drink segment is estimated to grow by 5-10%.
It has been observed that there is a ten-fold increase in specialty tearooms from 200 to 2,400. Even, traditional coffee houses are offering specialty tea, Simrany observed.
Marcus Wolf from Schroeder & Rudolph Hamann oHG of Germany also expects the market to stay in positive territory in the coming days. The demand for tea is seen increasing all over Europe with people lining up to buy or consume their tea. The per capita consumption of tea is estimated at 25 litres by the German Tea association. The large Turkish population aids German tea consumption.
Similar is the case of the UK market says Pradeep Jeyathilak of Unilever UK. "The only thing cheaper than tea is tap water. A cup of tea comes for 1.8 pence, while instant coffee retails for 3.9 pence and carbonated drinks cost 16. 5 pence," he said. During the last recession, 50% of the households claimed to spend less on eating out of home. It is seen that people sit at home and drink more tea, he added. The total UK market for tea has seen 2% growth in 2007 when compared to 2006 and 0.4% growth in 2008, when compared to 2007. Tea sales increased in the UK aided by its retail price relative to other drinks, its high level of home consumption and the emotional benefits, Pradeep Jeyathilak said.
Alexey Shvetsov of Ormi Traders, says that in Russia more consumers are shifting from Cola, beer and Vodka. "What else can people drink? People still dink tea as a healthy and traditional drink. And an obvious choice when you have less money is still tea," he said. The total import into Russia in 2008 is seen at 178.6 million kg. Shvetsov thinks that people may shift from premium varieties of tea to the less costly varieties if the crisis lingers. Consumers may also shift from relatively expensive tea bags to the loose packages, he added.
Other tea drinking nations like Egypt, Iran and Iraq are also reporting a growth in tea consumption.
Developed nations are shifting from traditional tea to the ready-to-drink segment and specialty teas, while the West Asian and Asian nations still prefer tea the traditional way. (Source: Financial Express)
Silver futures crosses 23,000-level, crude oil futures drops 6%
Mumbai: Base metals futures prices fell marginally on the week ended on Friday on rising inventories amid slow demand. Gold futures continued to climb last week mainly on buying support from retail investors as the global economic scenario continues to remain grim.
Silver prices also surged in line with gold. Silver March on Friday crossed the Rs 23,000 per kg mark mainly on strong buying support.
On the other hand, crude oil prices continued to remain lower on lack of renewed buying interest.
MCX copper February 2009 contracts continued to rule weak and settled at 5.24% lower at Rs 157.35 per kg on Friday from Rs 166.05 over the previous week. "Support is seen at Rs 155 per kg," a local analyst said.
Copper stocks in LME registered warehouses have gained 2,950 tonne to remain at 5,28,250 tonne. Global copper market saw a surplus of 3.29 lakh tonne in 2008, the World Bureau of Metal Statistics (WBMS) report said. LME Copper cash was quoted at $3,254.75 per tonne last week.
MCX crude oil March 2009 contracts once again slipped below the Rs 2,000-level and ended lower at Rs 1,957 per barrel on Friday over the previous week's close of Rs 2,080 per barrel, down by 5.91%. WTI crude oil price in NYMEX hovered at around $39.88 per barrel.
Even though inventory data showed a drop in oil stocks, the bearish picture for crude oil consumption is still in place, an analyst with Angel Broking said.
Crude oil prices may trade sideways as demand is unlikely to increase in the medium term, a trader said.
MCX gold April 2009 contracts finished higher at Rs 15,661 per 10 gram on Friday over the previous week's Rs 14,638 per 10 gram, up by 7% as investors have flocked to gold, the safe haven asset. In the London market, spot prices touched $998.57 an ounce.
MCX silver March 2009 contracts were traded higher at Rs 22,970 per kg on Friday from Rs 21,818 over the previous week, up by 5.28%.
The white metals crossed the Rs 23,000 per kg level on Friday mainly on sustained buying support. (source: Financial Express)
Silver prices also surged in line with gold. Silver March on Friday crossed the Rs 23,000 per kg mark mainly on strong buying support.
On the other hand, crude oil prices continued to remain lower on lack of renewed buying interest.
MCX copper February 2009 contracts continued to rule weak and settled at 5.24% lower at Rs 157.35 per kg on Friday from Rs 166.05 over the previous week. "Support is seen at Rs 155 per kg," a local analyst said.
Copper stocks in LME registered warehouses have gained 2,950 tonne to remain at 5,28,250 tonne. Global copper market saw a surplus of 3.29 lakh tonne in 2008, the World Bureau of Metal Statistics (WBMS) report said. LME Copper cash was quoted at $3,254.75 per tonne last week.
MCX crude oil March 2009 contracts once again slipped below the Rs 2,000-level and ended lower at Rs 1,957 per barrel on Friday over the previous week's close of Rs 2,080 per barrel, down by 5.91%. WTI crude oil price in NYMEX hovered at around $39.88 per barrel.
Even though inventory data showed a drop in oil stocks, the bearish picture for crude oil consumption is still in place, an analyst with Angel Broking said.
Crude oil prices may trade sideways as demand is unlikely to increase in the medium term, a trader said.
MCX gold April 2009 contracts finished higher at Rs 15,661 per 10 gram on Friday over the previous week's Rs 14,638 per 10 gram, up by 7% as investors have flocked to gold, the safe haven asset. In the London market, spot prices touched $998.57 an ounce.
MCX silver March 2009 contracts were traded higher at Rs 22,970 per kg on Friday from Rs 21,818 over the previous week, up by 5.28%.
The white metals crossed the Rs 23,000 per kg level on Friday mainly on sustained buying support. (source: Financial Express)
Subscribe to:
Posts (Atom)