MCX Zinc likely to trade in a range between 192.5-203.5
MCX Copper may trade in a range between 452.1-471.9
MCX Aluminium under fresh buying; Support seen at 157.7
MCX Mentha Oil likely to trade in a range of 1639.2-1677.6
Short covering seen in MCX Cotton
Technically MCX Nickel is getting support at 924.4 and below same could see a test of 896.3 level, And resistance is now likely to be seen at 967.3, a move above could see prices testing 982.1.
Nickel on MCX settled up 4.22% at 952.4 tracking firmness in other base metals on hopes of improved demand in China. A second large nickel mine in New Caledonia has been blockaded, stopping about 200 people from going to work.
The purchasing managers’ index (PMI) for the downstream nickel industries stood at 58.42 in September, according to SMM data. This was 3.26 higher from August. The index for raw materials inventory rallied 13.37 from August to 87.87 in September.
The raw materials inventory index for the stainless steel industry, rising to the highest since February, accounted for the overall increase. Steel mills restocked first-grade nickel as its price dipped in September.
The production index came in at 54.37, down 2.63 from that of August, affected by the battery industry. Nickel inventories in the Shanghai bonded areas decreased 2.3% or 1,000 mt over the week to stand at 43,000 mt, data showed.
An open import arbitrage window drove importers to take their Russian cargoes out of bonded warehouses and to put into the domestic spot market. The arbitrage opportunities also prompted importers to directly pour seaborne arrivals to the market.
A report showed that U.S. private sector employers added 230,000 jobs in September, well above expectations, indicating that the labor market remains robust. The Federal Reserve is expected to hike rates for what would be a fourth time this year in December and investors were looking ahead to Friday’s government jobs report for any indication that fresh policy tightening is in the offing.
–Nickel trading range for the day is 896.3-982.1.
–Nickel prices gains tracking firmness in other base metals on hopes of improved demand in China.
–A second large nickel mine in New Caledonia has been blockaded, stopping about 200 people from going to work.
–Nickel inventories in the Shanghai bonded areas decreased 2.3% or 1,000 mt over the week to stand at 43,000 mt, data showed.
Courtesy: Kedia Commodities