(1) Precious Metals: Gold prices rose mildly in Asia last night with investors cautious ahead of
next week’s Federal Reserve meeting on interest rates. Dollar index stability ahead of FOM
meet supported gold prices. Gold on the New York Mercantile Exchange rose 0.09% to $1122
a troy ounce and Silver futures for September delivery gained 0.30% to $14.80 a troy ounce.
Gold expected to trade in the range of 26000-26500 with huge volatility ahead of Fed rate
decision due in next week. Currently prices are likely to fluctuate in between the range of
$1100-$1135 levels. Silver immediate support is at 34800 while upside cap is at 35600 levels
(2) Energy: Crude Oil prices moved into positive territory with small gains in Asian trade
Wednesday, buoyed by stronger sentiment across financial markets in the region. Chinese
equity markets, which have been a source of volatility and uncertainty for oil and commodities
prices, were broadly higher, tracking an overnight rally in U.S. stock markets. The Shanghai
Composite Index was last up by 1.7%. Oil production from the Organization of the Petroleum
Exporting Countries was marginally lower in August at 31.26 million barrels a day, down from
31.4 million barrels a day in July, according to a survey by price reporting agency Platts. Crude
jumped more than 4% after last night as US stocks rebounded on China data; secondly
geopolitical issues in OPEC member nation, Yemen in Saudi supported the sentiments of
crude. Prices are expected to rebound above 3100 levels today, immediate resistance at
3150. Gas expected to trade in range of Rs175-185 levels on moderate weather conditions in
US. Ahead of EIA stocks released buying can be done on lower side until prices go below
Rs.171 levels. Buying in gas on lower side can be done for small profits.
(3)Base Metals: London copper held steady near its highest in six weeks, touched
the previous session, as traders bet China would beef up measures to strengthen
its economy after August trade data showed flagging. Euro zone, Japan GDP and
China trade balance supported the sentiments of metals. Base metals prices were
weak on Friday night in the absence of US traders. Yesterday Copper
outperformed with gain of 4, Nickel and zinc rose more than 3% and aluminum
rose 2% off ate. China reported that copper imports in August down 8.1% on year
on year. Any downbeat of US economic data will add buying pressure on metals on
lower side. Copper majorly supported from supply disturbances held at major
mining. Today other than UK manufacturing release there is no specific data from
the global front, but metal will keep focusing on US economic indicators which may
influence the decision of Fed rate due to release tomorrow. One can buy Copper,
Aluminum and Nickel on lower side today as trading up more than 1-2% on LME.
USDINR fall may limit the gains in terms of rupee on MCX

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