Daily Commodity Pointer
25 November 2020
Tracking Market
Nov 25 2020 ClosePrevCloseAbsChange
$ / Re.73.8974.00-0.11
Euro / $1.19121.18910.0021
Light Sweet Crude Oil45.9044.831.07
Gold $ / OZ-1806.501805.401.10
Silver $ / OZ-23.3823.290.09
$ / Yen104.44104.420.02
On Nov 25 2020
Events ETISTForecastPrev
Prelim GDP q/q8.3019.0033.1%33.1%
Unemployment Claims8.3019.00732K742K
Core Durable Goods Orders m/m8.3019.000.5%0.9%
Durable Goods Orders m/m8.3019.001.0%1.9%
New Home Sales10.0020.30972K959K
Crude Oil Inventories10.3021.000.1M0.8M
Natural Gas Storage12.0022.3033B31B

CallTracker
Commodity LTPT1T2SLMarginTick
CRUDEOIL3350 3400345033003344301

  Pivot Point - Agri/Non-Agri



Energy



U.S. oil edged lower on Wednesday, after an industry report showed crude stockpiles in the United States rose against expectations, tempering a rally driven by news that another vaccine against COVID-19 had proved effective in trials. West Texas Intermediate crude was down 14 cents, or 0.3%, at $44.77 a barrel, after rising more than 4% on Tuesday. Brent crude was yet to trade, having risen almost 4% in the previous session. The contracts closed at their highest since early March on Tuesday, after a three-day rally pushed prices up around 8%. AstraZeneca AZN.L said on Monday its COVID-19 vaccine was 70% effective in trials and could be up to 90% effective, providing another weapon in the fight to control the pandemic after positive results from other major pharmaceutical developers. That makes it likely that the group known as OPEC+ will continue production cuts into 2021 after a meeting set to start on Nov. 30 following technical talks this week. Organization of the Petroleum Export Countries (OPEC) and other producers such as Russia in the OPEC+ grouping have been withholding supplies to support prices after pandemic lockdowns earlier this year caused an evaporation in demand.

Source : Investing

Bullions



Gold prices edged up on Wednesday helped by a weaker dollar, though a robust appetite for riskier assets kept the safe-haven metal near a more than four-month low hit in the previous session. Spot gold rose 0.1% to $1,809.41 per ounce. Prices hit $1,800.01 on Tuesday, its lowest level since July 17. U.S. gold futures were up 0.2% at $1,807.60. The dollar index eased 0.1% against a basket of currencies, making bullion cheaper to other currency holders. U.S. president-elect Joe Biden moved swiftly to make Cabinet choices after defeating President Donald Trump, who gave the go-ahead for Biden to start receiving daily intelligence briefings, a sign he has all but accepted the result. Biden's formally approved transition and positive developments around a possible COVID-19 vaccine sparked a rally in U.S. equities with the Dow piercing the 30,000 level for the first time on Tuesday.  Investors now await the FOMC's minutes from its last meeting for clues on the direction of monetary policy. China's net gold imports via Hong Kong plunged about 84% in October from September's six-month peak, marking their steepest month-on-month decline since June, Hong Kong Census and Statistics Department data showed on Tuesday. 

Source : Investing

Currency



The U.S. currency teetered near a two-month low against the Australian dollar and a two-year low against the New Zealand dollar, both considered barometers of risk sentiment due to their close ties with the global commodities trade. The U.S. dollar's declines are likely to continue because a vaccine and the expected choice of former Federal Reserve Chair Janet Yellen as U.S. President-elect Joe Biden's next Treasury secretary relieve two big uncertainties for investors. Research suggesting that a COVID-19 vaccine could be available before year end has sent U.S. stocks surging to record highs and reduced the appeal of holding the dollar as a safe-harbour currency. Risk appetite has also improved after the outgoing U.S. President Donald Trump's administration began cooperating with the Biden transition, and after reports that Yellen, an advocate of more fiscal spending, will take the top job at Treasury. 

Source : Investing

Base Metals



Nonferrous metals on the SHFE were mostly higher on Wednesday morning, and their counterparts on the LME rose across the board, following a record session on Wall Street as coronavirus vaccine hopes and reduced uncertainty in US politics buoy investor sentiment. Positive momentum in the race for a coronavirus vaccine has boosted global markets. Earlier this week, AstraZeneca announced that interim analysis showed its vaccine has an average efficacy of 70% in protecting against the virus. Uncertainty in US politics has also eased after the Trump administration officially began the transition process to President-elect Joe Biden following weeks of delay.
Shanghai base metals mostly advanced in overnight trading. Nickel rose 1.2% to lead the gains, aluminium advanced 0.92%, copper added 0.92% and tin edged up 0.11%, while zinc and lead underperformed with 0.07% and 0.23% losses respectively. The LME complex rose across the board on Tuesday. Copper was the best performer with a rise of 1.39%. Lead advanced 0.9%, tin edged up 0.32%, aluminium climbed 0.91%, zinc increased 0.66% and nickel went up 1.15%. US President-designate Biden announced the foreign policy and national security team. With the handover of presidential power and the positive vaccine news, US stocks surged overnight. The Dow Jones index broke 30,000 for the first time in history, and the S&P 500 index reached a record high. The US index continued to fall at night, with copper futures showing a strong performance, hitting a 30-month high. Initial jobless claims in the US as of November 21 and the revised annualised rate of US Real GDP for the third quarter will be released today, focusing on the impact of today's economic data on the market. 

Source : SMM

Agri Commodity



Refined soya oil prices on Tuesday fell by Rs 13.1 to Rs 1,061.4 per 10 kg in futures trade as speculators reduced holdings amid subdued demand in spot market. On the National Commodity and Derivatives Exchange, refined soya oil for delivery in December declined by Rs 13.1, or 1.22 per cent, to Rs 1,061.4 per 10 kg in 55,215 lots. Likewise, refined soya oil contracts for January traded lower by Rs 11.7, or 1.09 per cent, at Rs 1,059.5 per 10 kg in 10,945 lots. Market analysts said cutting down of positions by participants against ample stocks mainly influenced refined soya oil prices.

Source : Economic Times

Exchange Turn Over :
NCDEX recorded a total turnover of Rs. 1940.65 crores, whereas MCX recorded a total traded turnover of Rs. 40401.14 Crores on 24th November 2020.
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