Daily Commodity Roundup as onreport.systematixshares.com/Commodity/SYSTEMATIXDAILYCOMM… · Daily...

Daily Commodity Roundup as on Tuesday, November 27, 2018

Date : Tuesday, November 27, 2018 URL : www.systematixshares.com Page No : 1

14.23CRUDE $

51.63

-0.05 0.2 2.40

IN

TER

NA

TIO

NA

L M

AR

KET U

PD

ATE GOLD $

1221.40SILVER $

USDJPY113.523

0.03 -0.01 -0.04EURUSD

1.1334GBPUSD

1.28111

LME

NICKEL

10840

-0.11 -1.85 -0.37

LME

COPPER

6166 LME

ZINC

2439

$ INDEX97.04

-0.36 -0.80 -0.02

LME ALUMINIUM

1942 LME

LEAD

1933

DJIA24286

1.07 0.97 -0.73SENSEX

35354NIFTY

10629


NIKKEI21912

0.02 -0.66 0.46USDINR

70.82 S&P

INDEX

2633

#

#

#

#

MCX Gold Dec 2018

Gold steadied with investors looking to a G20 meeting for signs of a thaw in the Sino-U.S. trade conflict.

Gold firmed supported by uncertainty over the future pace of U.S. interest

rate hikes and the outcome of the G20 summit later this week when

global leaders will focus on trade tensions. Trump said he expected to

move ahead with raising tariffs on $200 billion in Chinese imports to 25

percent from the current 10 percent and repeated his threat to slap tariffs

on all remaining imports from China. Prime Minister Theresa May warned

that Britain would be thrust into the unknown if parliament rejects the

Brexit deal she has negotiated with the European Union, as lawmakers

from all sides lined up to criticise the agreement. U.S. President Donald

Trump and his Chinese counterpart Xi Jinping are expected to discuss

their trade dispute at the G20 summit in Argentina, which begins on

Friday. Uncertainties related to Brexit and Italy are also helping build a

base for gold, which was helped by a slight retreat in the dollar earlier in

the session. The euro gained on signs Italy may cut its budget deficit

target to satisfy the European Union, while the sterling rose after the EU

and Britain sealed a Brexit deal. Gold’s direction in the near term would

be determined by moves in the greenback, which could be pressured if

the Fed takes a more cautious approach to future policy tightening amid

concern of an economic slowdown next year. Speculators increased their

net short positions in Comex gold and silver contracts in the week to Nov.

13. SPDR Gold Trust, the world’s largest gold-backed exchange-traded

fund, said its holdings fell 0.15 percent to 761.74 tonnes on Monday.

Technically now Gold is getting support at 30441 and below same could

see a test of 30335 level, And resistance is now likely to be seen at

30657, a move above could see prices testing 30767.

OPEN HIGH LOW CLOSE % CHANGE OPEN INTEREST

30471

SUPPORT 3

30873 30767 30657 30441 30335 30225

30661 30445 30547 0.17 6490

RESIST 3 RESIST 2 RESIST 1 SUPPORT 1 SUPPORT 2


Trading Ideas :Gold trading range for the day is 30335-30767.

Although a stronger dollar amid fears of a slowdown in global growth weighed on bullion.

Physical gold demand in India was robust as consumers stepped up purchases during the traditional wedding season after domestic rates slipped to a near six-week trough.

Hedge funds and money managers increased their net short positions in Comex gold contracts in the week to Nov. 13.

#

#

#

#

MCX Silver Dec 2018

Silver prices steadied as market watchers are keeping an eye on the Fed’s policy outlook ahead of high-level U.S.-China trade talks on Friday.

Silver prices steadied as market watchers are keeping an eye on the

Fed’s policy outlook ahead of high-level U.S.-China trade talks on Friday.

European Union leaders finally sealed a Brexit deal, saying the package

agreed with PM May was the best Britain will get in a warning to the

British parliament not to reject it. China urged the WTO to close loopholes

and correct practices by some member states that damage global trade,

warning of a “profound crisis” facing the institution’s existence. The

Italian government said it was sticking to its main 2019 budget goals for

now, as it awaits a cost analysis of its main spending measures, but left

open the possibility of eventually cutting its deficit target. The euro zone

has lost some growth momentum but this was mostly normal and not

enough to derail plans by the European Central Bank to dial back stimulus

further, ECB President Mario Draghi and two of his top lieutenants said.

Hedge funds and money managers cut their net short positions in Comex

gold and silver contracts in the week to Nov. 20, the U.S. Commodity

Futures Trading Commission (CFTC) said. Speculators increased their net

short position in silver by 18,512 lots to 38,846 lots, CFTC said, to the

highest net short position in five weeks. Fed Chairman Jerome Powell is

due to speak on Wednesday on "The Federal Reserve's Framework for

Monitoring Financial Stability" at the New York Economic Club. The central

bank will be issuing minutes of its Nov. 7-8 meeting the following day.

Technically now Silver is getting support at 35868 and below same could

see a test of 35712 level, And resistance is now likely to be seen at

36312, a move above could see prices testing 36600.


36263 36444

36756 36600 36312 35868 35712 35424

36000 36024 -0.10 19209

RESIST 3 RESIST 2 RESIST 1 SUPPORT 1 SUPPORT 2 SUPPORT 3


Trading Ideas :Silver trading range for the day is 35712-36600.

European Union leaders finally sealed a Brexit deal, saying the package agreed with PM May was the best Britain will get in a warning to the British parliament not to reject it.

China urged the WTO to close loopholes and correct practices by some member states that damage global trade, warning of a “profound crisis” facing the institution’s existence.

Speculators increased their net short position in silver by 18,512 lots to 38,846 lots, CFTC said, to the highest net short position in five weeks.

#

#

#

#

MCX Crudeoil Dec 2018

Crude oil gained buoyed by growing expectations that major oil producers will agree to cut output at a meeting early next month.

Crude oil gained buoyed by growing expectations that major oil producers

will agree to cut output at a meeting early next month. Saudi Arabia

raised oil production to an all-time high in November, an industry source

said, as U.S. President Donald Trump piled pressure on the kingdom to

refrain from production cuts at an OPEC meeting next week. The industry

source, who is familiar with the matter, said Saudi crude oil production hit

11.1-11.3 million barrels per day (bpd) in November, although it will not

be clear what the exact average November output is until the month is

over. Those levels are up around 0.5 million bpd - equal to 0.5 percent of

global demand - from October and more than 1 million bpd higher than in

early 2018, when Riyadh was curtailing production together with other

OPEC members. Saudi Arabia agreed to raise supply steeply in June, in

response to calls from consumers, including the United States and India,

to help cool oil prices and address a supply shortage after Washington

imposed sanctions on Iran. Looking ahead, Allardyce said “a lot depends”

on the outcome of the Group of 20 (G20) meeting in Buenos Aires where

the United States and China are expected to address their trade disputes,

and on a meeting of the Organization of the Petroleum Exporting

Countries (OPEC). OPEC will gather for its annual meeting at its

headquarters in Vienna on Dec. 6, and the group will discuss its output

policy together with some non-OPEC producers, including Russia.

Technically now Crudeoil is getting support at 3612 and below same could

see a test of 3545 level, And resistance is now likely to be seen at 3729,

a move above could see prices testing 3779.


3595 3712

3846 3779 3729 3612 3545 3495

3595 3678 1.52 17165

RESIST 3 RESIST 2 RESIST 1 SUPPORT 1 SUPPORT 2 SUPPORT 3


Trading Ideas :Crudeoil trading range for the day is 3545-3779.

Global supply, led by the United States, growing more quickly than demand; crude prices on track for biggest 1-month decline since late 2014.

International Energy Agency (IEA) expects non-OPEC output to rise by 2.3 mln bpd this year, up from earlier forecast of 1.8 mln bpd

In US, fuel oil inventories climbed 2 percent to a two-week high of 28.478 million barrels in the week to Nov. 16, the latest data from the EIA showed.

#

#

#

#

MCX Copper Nov 2018

Copper traded in range amid caution ahead of trade talks between United States President Donald Trump and Chinese President Xi Jinping later this week.

Copper on MCX settled up 0.14% at 430.45 recovered from the day's low

as rupee weakness supported the prices while LME Copper prices

extended losses following a report that U.S. President Donald Trump

expects to move ahead with raising tariffs on $200 billion of Chinese

imports. In an interview with the Wall Street Journal, Trump said it was

"highly unlikely" he would accept China's request to hold off on a planned

increase in the tariffs from 10 percent to 25 percent due to take effect on

Jan. 1. Copper is down around 15 percent in London so far in 2018 on

concerns the U.S.-China trade spat will hurt demand for industrial metals.

Investors are focused this week on a speech on Wednesday by Federal

Reserve Chairman Jerome Powell and minutes from the Feds Nov. 7-8

meeting to be released on Thursday, for further indications of how many

more times the U.S. central bank is likely to hike interest rates. Slowing

global growth has raised expectations the Fed may halt its tightening

cycle sooner than previously expected. It seems like there are tentative

signs from the Fed that they see caution on the rise, so if the Fed

minutes and Mr Powell both play up an increase in caution, I think that

would tend to suggest the Fed may opt for a slower pace of rate hikes

going forward. Trade tensions between the United States and China are

also at the forefront with U.S. President Donald Trump and Chinese

President Xi Jinping due to meet at a G20 meeting in Buenos Aires on

Nov. 30 to discuss contentious trade matters. Technically market is

getting support at 427.8 and below same could see a test of 425.1 level,

And resistance is now likely to be seen at 433.5, a move above could see

prices testing 436.5.


429.75

SUPPORT 3

439.2 436.5 433.5 427.8 425.1 422.1

433.80 428.15 430.45 0.14 12760


Trading Ideas :Copper trading range for the day is 425.1-436.5.

China's economic growth is expected to hit 6.6 percent this year and slow to 6.3 percent in 2019 as the country struggles with challenges relating to trade reform.

Copper inventories in warehouses monitored by the Shanghai Futures Exchange fell 1.2 percent from last Friday.

Warehouse stock for Copper at LME was at 137100mt that is down by -2450mt.


#

#

#

#

MCX Zinc Nov 2018

Zinc prices fell as expectations of weaker demand from Chinese steel mills overpowered signs that the market is short of metal.

Zinc on MCX settled down -1.15% at 179.85 settled below 180 level mark

on expectations of weaker demand from Chinese steel mills overpowered

signs that the market is short of metal. Most other industrial metals also

fell on caution over the outcome of trade talks between U. President

Donald Trump and Chinese President Xi Jinping later this week that could

influence demand for commodities. LME Zinc fell 2.5 per cent on the

Shanghai Futures Exchange, its biggest one-day drop since August. The

premium of cash zinc to the three-month contract fell to $US63 from last

week's two-decade high of $US97 but remains unusually high, suggesting

a shortage of nearby supply. While stocks of zinc in LME-registered

warehouses have halved to 121,550 tonnes since August, a 10-year low,

while inventories in ShFE warehouses at around 35,000 tonnes are down

from almost 160,000 tonnes in March. Investors are focused this week on

a speech on Wednesday by Federal Reserve Chairman Jerome Powell and

minutes from the Feds Nov. 7-8 meeting to be released on Thursday, for

further indications of how many more times the U.S. central bank is likely

to hike interest rates. Slowing global growth has raised expectations the

Fed may halt its tightening cycle sooner than previously expected. Now a

day ahead economic data slated for release today include October’s

annualised profits of China’s industrial enterprises above a designated

size, the US FHFA house price index for September, and its conference

board consumer confidence index for November. Technically market is

getting support at 177.1 and below same could see a test of 174.4 level,

And resistance is now likely to be seen at 182.6, a move above could see

prices testing 185.4.


182.3

SUPPORT 3

188.1 185.4 182.6 177.1 174.4 171.6

182.7 177.3 179.9 -1.15 3031


Trading Ideas :Zinc trading range for the day is 174.4-185.4.

An expected surge in refined zinc output after a clutch of new mine openings has been derailed by bottlenecks at smelters across Asia.

China's forced environmental cutbacks on zinc slag, and falling refined prices in the second quarter, prompted many smelters to cut production.

Warehouse stock for Zinc at LME was at 121600mt that is up by 50mt.


#

#

#

#

MCX Nickel Nov 2018

Nickel recovered on short covering after prices dropped as expectations of weaker demand from Chinese mills dented prices.

Nickel on MCX settled up 0.18% at 765.80 on rupee weakness which

London Nickel which traded 0.6 percent weaker but Shanghai nickel

bucked the trend among base metals to settle up 0.2 percent. Nickel

stockpile in LME warehouses is around a five-year low, at 214,188

tonnes. Uncertainty prevails in the market as Chinese iron ore futures

tumbled and steel prices dropped as worries over weaker steel demand

sustained a sell-off, with raw materials coking coal and coal also down

sharply. Steel-linked metals nickel and zinc fell on Monday on

expectations of weaker demand from Chinese steel mills. Investors are

focused this week on a speech on Wednesday by Federal Reserve

Chairman Jerome Powell and minutes from the Feds Nov. 7-8 meeting to

be released on Thursday, for further indications of how many more times

the U.S. central bank is likely to hike interest rates. Slowing global

growth has raised expectations the Fed may halt its tightening cycle

sooner than previously expected. It seems like there are tentative signs

from the Fed that they see caution on the rise, so if the Fed minutes and

Mr Powell both play up an increase in caution, I think that would tend to

suggest the Fed may opt for a slower pace of rate hikes going forward.

Trade tensions between the United States and China are also at the

forefront with U.S. President Donald Trump and Chinese President Xi

Jinping due to meet at a G20 meeting in Buenos Aires on Nov. 30 to

discuss contentious trade matters. Technically market is getting support

at 756.1 and below same could see a test of 746.3 level, And resistance

is now likely to be seen at 771.5, a move above could see prices testing

777.1.


751.9

SUPPORT 3

786.9 777.1 771.5 756.1 746.3 740.7

767.3 751.9 765.8 0.18 14013


Trading Ideas :Nickel trading range for the day is 746.3-777.1.

In recent session, adding to the bearish mood for nickel was news that German chemicals giant BASF plans to use less of the metal in its electric car batteries.

Expectations of a supply avalanche hitting the nickel market next year due to new capacity in Indonesia have sent prices down more than 15 percent since September.

Warehouse stock for Nickel at LME was at 213984mt that is down by -204mt.


#

#

#

#

NCDEX Jeera Dec 2018

Jeera dropped on expectation of improving acreage on reports of assured irrigation by govt of Gujarat.

Jeera on NCDEX settled down -0.28% at 19405 on expectation of

improving acreage on reports of assured irrigation by govt of Gujarat.

Jeera sowing in Gujarat fell to 44,200 hectares from 130,100 hectares a

year ago due to lack of water, state government data showed. Sowing is

likely to pickup in the coming weeks. However, there are doubts of any

increase in acreage due to dry weather. Moreover, concern that standing

cumin crops might get affected amid scanty rainfalls also supported

upward trend in prices. Deficient rainfall in key producing region of

Gujarat like Saurashtra and Kutch may lower the acreage. According to

the initial trade estimate, there may not be any increase in the sowing

area of jeera because of dry weather. However, if the producing states

receive good irrigation facilities through dams then the sowing area could

see an increase. According to the market estimates, India has already

exported around 1.25 lakh tonnes of jeera so far this year and there is a

possibility of it touching a record 1.75 lakh tonnes by the end of this fiscal

year. As per Gujarat state govt. data, Jeera progressive area of Rabi 2018-

19, 18,400 hectares as compared to previous Rabi season 59,400

hectares, 6% completed from normal area 318,900 hectares. Current

year sowing reported slow due to lower rainfall. As per current situation,

farmers are likely to prefer Jeera over Coriander due to higher prices.

Technically market is under fresh selling as market has witnessed gain in

open interest by % to settled at while prices down -55 rupees, now Jeera

is getting support at 19247 and below same could see a test of 19088

level, And resistance is now likely to be seen at 19577, a move above

could see prices testing 19748.


19470

SUPPORT 3

19730 19605 19490 19250 19125 19010

19480 19240 19380 -0.13 4206


Trading Ideas :Jeera trading range for the day is 6460-6460.

Jeera sowing in Gujarat fell to 44,200 hectares from 130,100 hectares a year ago due to lack of water, state government data showed.

NCDEX accredited warehouses jeera stocks dropped by 48 tonnes to 2218 tonnes.

In Unjha, a key spot market in Gujrat, jeera remains unchanged at0 rupees to end at 19800 rupee per 100 kg.


#

#

#

#

NCDEX Turmeric Dec 2018

Turmeric prices dropped amid reports of higher sowing in turmeric areas of Tamilnadu, Karnataka and Maharashtra.

Turmeric on NCDEX settled down by -1.17% at 6406 amid reports of

higher sowing in turmeric areas of Tamilnadu, Karnataka and

Maharashtra. According to the Department of Horticulture and Plantation

Crops of Tamil Nadu, acreage of turmeric in Erode may jump nearly 80%

on year to 5,300 hectares in 2018-19 (Jul-Jun) because of very good

rainfall this year and availability of other water sources. In Telangana,

turmeric acreage rose to 47,790 hectare compared to 44,956 hectares a

year ago, state government data showed. In Andhra Pradesh, farmers

planted turmeric over area 18,000 hectares, up from 14,000 hectares a

year ago. Turmeric exports in 2018-19 (Apr-Sep) is up by 10.6% at

65,547 ton compared to 59,285-ton last year for the same time. As per

reports, standing crop likely to damage around 10 - 20% currently, if

higher temperature will continue next 15 - 20 day’s damage percentage

may go up to 30-40%. Moreover, turmeric sowing in all major producing

states is higher than last year as weather remained favourable. During

the October, arrivals of turmeric have been higher at 12,478 t (Vs 10,978

t) compared last year, as per data. As per data released by Commerce

Ministry, turmeric exports during the month of Sep 2018, up 16.5% on

year to 9,064 tonnes (Vs 7,783 tonnes). In Nizamabad, a major spot

market in AP, the price ended at 7151.15 Rupees dropped -70

Rupees.Technically market is under long liquidation as market has

witnessed drop in open interest by -7.1% to settled at 10595 while prices

down -76 rupees, now Turmeric is getting support at 6272 and below

same could see a test of 6136 level, And resistance is now likely to be

seen at 6522, a move above could see prices testing 6636.


6500

SUPPORT 3

6772 6636 6522 6272 6136 6022

6500 6250 6406 -1.17 10595


Trading Ideas :Turmeric trading range for the day is 6136-6636.

In Telangana, turmeric acreage rose to 47,790 hectare compared to 44,956 hectares a year ago, state government data showed.

NCDEX accredited warehouses turmeric stocks gained by 289 tonnes to 3424 tonnes.

In Nizamabad, a major spot market in AP, the price ended at 7151.15 Rupees dropped -70 Rupees.


#

#

#

#

MCX Menthaoil Dec 2018

Menthaoil settled up due to bullish demand outlook from domestic market as well as exporters.

Mentha oil on MCX settled up by 0.25% at 1689.1 due to bullish demand

outlook from domestic market as well as exporters. Spot markets are also

witnessing strong consumption demand amid restricted supplies. Bumper

crop harvest has been discounted in the market and market is moving

upwards on rising demand from end users. Arrivals in Sambhal stood at

400 drums compared to 350 drum a day ago while in Barabanki supplies

rose to 500 drums from 450 drums a day earlier. According to preliminary

estimates, mentha oil production in 2018-19 would be 40,000-45,000 ton

against last year's production of 35,000 tons. There could be chances of

crop damage to certain extend due to unfavourable weather condition.

Besides, farmers are likely to hold back the stocks as the present prices

are not remunerative for them. However, in recent years, the growth in

production and consumption of synthetic mentha has influenced the

demand for natural mentha. As per sources, India contributes around

80% to the total global mentha oil production. Total global production

stood at around 48,000 tonnes, out of which India produces between

30,000-40,000 tonnes. According to estimates, mentha oil production in

India for crop year 2016-17 will be around 38,000 tonnes. Mentha oil

spot at Sambhal closed at 1839.20 per 1kg. Spot prices was down by Rs.-

2.20/-.Technically market is under fresh buying as market has witnessed

gain in open interest by 32.95% to settled at 928 while prices up 4.2

rupees, now Menthaoil is getting support at 1668.4 and below same could

see a test of 1647.6 level, And resistance is now likely to be seen at

1706.7, a move above could see prices testing 1724.2.


1693.30

SUPPORT 3

1745.0 1724.2 1706.7 1668.4 1647.6 1630.1

1703.40 1665.10 1689.10 0.25 928


Trading Ideas :Menthaoil trading range for the day is 1647.6-1724.2.

Mentha oil spot at Sambhal closed at 1839.20 per 1kg. Spot prices was down by Rs.-2.20/-.

Spot markets are also witnessing strong consumption demand amid restricted supplies.

Arrivals of mentha oil in Sambhal market doubled to 100 drums (1 drum = 180 kg).


TIME ZONE Forecast

CommodityLME STOCK Stock

COPPER -2450 137100

ALUMINIUM -2025 1064975

NICKEL -204 213984

LEAD -500 107675

ZINC 50 121600

4659 21560 19380 4283 6406 4048 495.2 3363

DAILY MARKET TRADING LEVEL

COMMODITIESNCDEX CHANA Dec

2018

NCDEX Cotton Nov

2018

NCDEX Jeera Dec

2018

NCDEX Guarseed10

Dec 2018

NCDEX Turmeric

Dec 2018

NCDEX Rmseed Dec

2018MCX CPO Nov 2018

NCDEX Soyabean

Dec 2018

NCDEX

Ref.Soya oil

Dec 2018

716.2CLOSE

P. POINT 4691 21540 19365 4342 6386 4068

4749 21670 19490 4401 6522 4095

RESISTANCE

4896 21920 19730 4579 6772 4169

500.3 3374 720

740

4838 21790 19605 4520 6636 4142 519.8 3475 735

527.0 3520

507.5 3419 725

4164 6136 3994 480.8 3273 705

4602 21420 19250 4223 6272 4021 488.0 3318

695

Cng in OI -7.55 -44.63 -7.09 -5.87 -7.10 -6.19 -31.15 -4.62 -1.50

SUPPORT

4455 21170 19010 4045 6022 3947 468.5 3217

710

4544 21290 19125

Long Liquidation

LME DAILY STOCK POSITION ECONOMICAL DATA

DATA Previous

Tentative All OPEC-JMMC Meetings 0 0

TREND Short Covering Long Liquidation Long Liquidation Long Liquidation Long Liquidation Long Liquidation Long Liquidation Long Liquidation

7:30pm USD HPI m/m 0.004 0.003

7:30pm USD S&P/CS Composite-20 HPI y/y 0.053 0.055

8:30pm USD CB Consumer Confidence 136.2 137.9

0:00 0 0 0 0

0 0 0 0 0

0 0 0 0 0

0 0 0 0 0

0 0 0 0 0

0 0 0 0 0


-2450

-2025

-204

-500

50

-3000

-2500

-2000

-1500

-1000

-500

0

500

COPPER ALUMINIUM NICKEL LEAD ZINC

LME STOCK

NEWS YOU CAN USE

Japan’s exports rebounded in the year to October, reversing from the prior month’s surprise drop as U.S.-bound shipments grew, although slowing global demand and the

intensifying U.S.-China trade war could cloud the outlook for export-reliant Japan. Ministry of Finance (MOF) data out on Monday showed exports rose 8.2 percent in

October from a year before, versus a 9.0 percent annual increase expected. The export growth followed a revised 1.3 percent year-on-year drop in September, was

caused by natural disasters that crimped factory output and distribution of goods. The data followed gross domestic product data issued last week that showed Japan’s

economy, the world’s third largest, shrank more than expected in the third quarter, hit by the natural disasters and export slump. While the economy is expected to

return to growth this quarter as temporary effects from natural disasters fade, Japanese policymakers remain wary about the overall economic impact of international

trade friction. Japan’s exports to the United States grew 11.6 percent in the year to October, led by shipments of cars. U.S.-bound auto exports stood at 154,085 cars, up

3.0 percent year-on-year, rising for the first time in five months. Imports from the United States rose 34.3 percent in October, led by feed corn, liquefied petroleum gas

and crude oil, helping reduce Japan’s trade surplus with the United States by 11.0 percent versus the same month last year to 573.4 billion yen ($5.09 billion).

China's steel output hit record levels in October, rising for a third straight month as mills rushed to boost output ahead of winter production cuts. The world's top steel

producer churned out 82.55 million tonnes of crude steel last month, up from 80.85 million tonnes in September and from 72.36 million tonnes in October last year, data

from the National Bureau of Statistics (NBS) showed. That marked the highest monthly volume in records dating back to 2010. However, average daily output dipped 1.2

percent from September to 2.67 million tonnes, according to Reuters calculations based on the NBS data. October has one more day than September. The weekly

utilisation rate at blast furnaces in steel mills across the country climbed as high as 68.65 percent in mid-October, a level last seen on July 20. The record production

came even after the major steel producing province of Hebei in northern China last month issued two second-level pollution alerts, ordering steel mills to halve production

during emergency periods.But steel mills are expected to slow their operations as production restrictions in heavy industry kick in from mid-November, part of Beijing's

effort to fight toxic emissions over winter.

The Cotton Advisory Board may estimate production of the commodity in India in 2018-19 (Oct-Sep) at around 36 mln bales, 2-3% lower than its estimate for output in

2017-18, trade sources said. The board will release its first estimate for output in 2018-19 after holding discussions with stakeholders. For the year ended September, it

had estimated production in India at 37 mln bales. “Production in Gujarat and Maharashtra will definitely be lower due to scanty rains though acreage was almost the

same on year,” officials of Cotton Corp of India’s respective state units said. The two states are India’s top cotton producers, accounting for 55% of the country’s total

output. A prominent cotton exporter, who will attend Cotton Advisory Board’s meeting, said the board may be conservative in its forecast, as this is its first estimate. The

farm ministry, in its first advance estimate on Sep 26, had cut the country’s cotton crop forecast to 32.4 mln bales, down 7% from the previous year. Sources in the state-

owned Cotton Corp of India said production in Gujarat may be lower by 1.0 mln bales this year and that in Maharashtra may see a decline of 500,000 bales. Recently,

Cotton Association of India had scaled down its production estimate for 2018-19 to 34.3 mln bales from 34.8 mln bales projected in October.



The information and opinions contained herein have been compiled or arrived at, based upon information obtained in good faith from sources believed to be reliable. Such information has not been independently verified and no guaranty, representation of warranty, express or implied, is

made as to its accuracy completeness or correctness.

This document is for information purposes only. This report is based on information that we consider reliable, but we do not represent that it is accurate or complete, and one should exercise due caution while acting on it. Descriptions of any commodities mentioned herein are not

complete and this document is not, and should not be construed as an offer or solicitation of an offer to buy or sell any commodities/commodity derivatives. Past performance is not a guide for future performance, future returns are not guaranteed and a loss of original capital may occur.

All opinions, projections and estimates constitute the judgment of the author as on the date of the report and these, plus any other information contained in the report, are subject to change without notice. Prices and availability of financial instruments also are subject to change without

notice.

This report is not directed to or intended for display, downloading, printing, reproducing or for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, reproduction, availability

or use would be contrary to law or regulation or what would subject to Systematix Commodities Services Private Limited (SCSPL) or its affiliates to any registration or licensing requirement within such jurisdiction. If this report is inadvertently send or has reached any individual in such

country, especially, USA, the same may be ignored and brought to the attention of the sender. Neither this document nor any copy of it may be taken or transmitted into the United State (to U.S.Persons), Canada, or Japan or distributed, directly or indirectly, in the United States or

Canada or distributed or redistributed in Japan or to any resident thereof. Any unauthorized use, duplication, redistribution or disclosure of this report including, but not limited to, redistribution by electronic mail, posting of the report on a website or page, and/or providing to a third party

a link, is prohibited by law and will result in prosecution. The information contained in the Report is intended solely for the recipient and may not be further distributed by the recipient to any third party.

SCSPL generally prohibits its analyst(s), persons reporting to analyst(s), and members of their households from maintaining a financial interest in the commodities or commodity derivatives that the analyst(s) cover. Our salespeople, traders, and other professionals or affiliates may

provide oral or written market commentary or trading strategies to our clients that reflect opinions that are contrary to the opinions expressed herein. Our proprietary trading and investing businesses may make investment decisions that are inconsistent with the recommendations

expressed herein. The views expressed in this research report reflect the personal views of the analyst(s) no part of the compensation of the research analyst(s) was, is, or will be directly or indirectly related to the specific recommendations and views expressed by research analyst(s) in

this report. The compensation of the analyst who prepared this document is determined exclusively by SCSPL however, compensation may relate to the revenues of the Systematix Group as a whole, of which investment banking, sales and trading are a part. Research analyst(s) and

sales persons of SCSPL may provide important inputs to its affiliated company(ies).

Foreign currency denominated commodities, wherever mentioned are subject to exchange rate fluctuations, which could have an adverse effect on their value or price, or the income derived from them. In addition, the values of which are influenced by foreign currencies effectively

assume currency risk.

SCSPL, its directors, analyst(s) or employees do not take any responsibility, financial or otherwise, of the losses or the damages sustained due to the investments made or any action taken on basis of this report including but not restricted to changes in the currency rates, reduction in

the income, etc.

SCSPL and its affiliates, officers, directors, and employees may: (a) from time to time, have long or short positions in, and buy or sell the commodities/commodities derivatives thereof, of company(ies) mentioned herein or (b) be engaged in any other transaction involving such

commodities/commodity derivatives and earn brokerage or other compensation (financial interest) or act as a market maker in the financial instruments discussed herein or have other potential material conflict of interest with respect to any recommendation and related information and

opinions. The views expressed are those of the analyst and the Company may or may not subscribe to the views expressed therein.

SCSPL, its affiliates and any third party involved in, or related to, computing or compiling the information hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of this information. Without

limiting any of the foregoing, in no event shall SCSPL, any of its affiliates or any third party involved in, or related to, computing or compiling the information have any liability for any damages of any kind. The Company accepts no liability whatsoever for the actions of third parties. The

Report may provide the addresses of, or contain hyperlinks to, websites. Except to the extent to which the Report refers to website material of the Company, the Company has not reviewed the linked site. Accessing such website or following such link through the report or the website of

the Company shall be at your own risk and the Company shall have no liability arising out of, or in connection with, any such referenced website

SCSPL shall not be liable for any delay or any other interruption which may occur in presenting the data due to any technical glitch to present the data. In no event shall the SCSPL be liable for any damages, including without limitation, direct or indirect, special, incidental, or

consequential damages, losses or expenses arising in connection with the data presented by SCSPL through this presentation.

Neither SCSPL, nor any of its other group companies or associates, shall be responsible for any decisions taken on the basis of this report. Investors are advised to consult their Investment and Tax consultants before taking any investment decisions based on this report.

Systematix Commodities Services Private Limited.:

Registered and Corporate address: The Capital, A-wing, No. 603 – 606, 6th Floor, Plot No. C-70, G Block, Bandra Kurla Complex, Bandra (East), Mumbai – 400 051

CIN - U01119MH1994PTC266348 | MCX SEBI Reg No.: INZ000043009 | NCDEX SEBI Reg No.: INZ000043009 Member Code: MCX: 29790 | NCDEX: 534

Daily Commodity Roundup as onreport.systematixshares.com/Commodity/SYSTEMATIXDAILYCOMM… · Daily...

Documents

Transcript of Daily Commodity Roundup as onreport.systematixshares.com/Commodity/SYSTEMATIXDAILYCOMM… · Daily...