MCX Mentha Oil likely to move in a range of 1258-1289.6
MCX Aluminium may trade between 138.1-140.1 levels
NCDEX Chana under long liquidation; Resistance seen at 4001
MCX Nickel likely to move in a range of 1205.6-1243
MCX Cotton under short covering; Support seen at 19580
Technically Zinc market is under fresh selling as market has witnessed gain in open interest by 9.05% to settled at 2917 while prices down 1.35 rupees.
Now MCX Zinc is getting support at 182.8 and below same could see a test of 181.9 levels, and resistance is now likely to be seen at 185.2, a move above could see prices testing 186.7.
Zinc on MCX settled down 0.73% at 183.7 after top consumer China released a slew of weak economic data that raised concerns about demand from the world’s second-largest economy.
China’s industrial production grew at the weakest pace in 17-1/2 years last month and fixed-asset investment in January-August increased at a slightly lower rate than expected, data showed. Better-than-expected US retail sales pointed to solid consumer spending that should continue to support the world’s largest economy.
China’s zinc output rose by 18.9% year-on-year to 528,000 tonnes in August, data released by the National Bureau of Statistics showed. The figure is the highest monthly total in records on the bureau’s website since December 2017 and was also up 3.1% from July amid a recovery in smelter operating rates following summer maintenance. Deputy-level U.S.-China trade talks are scheduled to start in Washington, the U.S.
Trade Representative’s office said, paving the way for high-level talks in October aimed at resolving a bitter trade war. Social inventories of refined zinc across Shanghai, Tianjin and Guangdong increased by 5,400 mt from Thursday September 12 to 147,000 mt as of Monday September 16, showed data. Friday September 13 was a public holiday in China for the Mid-Autumn Festival. The stocks rose 1,500 mt from a week earlier.
–Zinc trading range for the day is 181.9-186.7.
–Zinc prices dropped after top consumer China released a slew of weak economic data that raised concerns about demand from the world’s second-largest economy.
–China’s zinc output rose by 18.9% year-on-year to 528,000 tonnes in August, data released by the National Bureau of Statistics showed.
–Meanwhile, on-warrant LME inventories fell to the lowest since at least 1998, at 33,450 tonnes.
Courtesy: Kedia Commodities