MCX Aluminium under fresh selling; Support seen at 142.2
MCX Mentha Oil likely to trade in a range of 1430.4-1511.4
Zinc market under fresh selling; Support seen at 178.8
MCX Copper under fresh selling; Support seen at 429.9
Natural Gas market under fresh selling; Resistance seen at 194.3
Technically Nickel market is getting support at 963.2 and below same could see a test of 955.3 level, And resistance is now likely to be seen at 977.8, a move above could see prices testing 984.5.
Nickel on MCX settled up 0.69% at 971 gained on short covering bolstered by upbeat Chinese economic data. While sentiments remain weak after that the Philippines’ nickel ore exports could drop by up to 17 percent this year as weaker prices curb output in the world’s second-biggest supplier, the head of a nickel mining industry group said on Tuesday.
Shipments of nickel ore, used to make stainless steel, could fall to 30-35 million tonnes from 36 million tonnes in 2017. The price of nickel on the London Metal Exchange fell to an eight-week low of $13,830 a tonne on Friday and has lost nearly 5 percent this month, caught in a broad-based selloff of risky assets amid deepening trade tensions between the United States and China.
Philippine President Rodrigo Duterte last week warned he would soon halt mining in the Southeast Asian nation because of the environmental damage it has caused. Last night the US dollar index gained 0.04% to close at 94.09 as the euro weakened.
The US President Donald Trump’s push for allies of the NATO to increase military spending added to market worries. Base metals fell for the most part, except for nickel. LME zinc led the losses and closed over 2.2% lower.
It touched the lowest level since June 21 last year amid rising supply. From data point China’s CPI rose 1.9% year on year in June, in line with expectations and up from May’s gain of 1.8%. Now a day ahead traders are watching key factors for today include the US weekly crude oil inventories, its PPI in June and wholesale inventories data in May.
–Nickel trading range for the day is 955.3-984.5.
–Nickel gained on short covering bolstered by upbeat Chinese economic data.
–The Philippines’ nickel ore exports may drop to 30-35 million tonnes this year from 36 million tonnes in 2017 amid weaker prices.
–The Philippines is the world’s No. 2 nickel ore supplier after Indonesia, shipping the bulk of its output to top buyer China where it is used to make stainless steel.
Courtesy: Kedia Commodities