MCX Cotton under fresh selling; Resistance seen at 24016
MCX Cardamom under fresh selling; Support seen at 1089.2
Natural Gas market under fresh buying; Resistance seen at 203.9
Crude Oil market under fresh selling; Support seen at 4495
NCDEX Jeera under fresh buying; Resistance seen at 20200
Technically MCX Gold is getting support at 29540 and below same could see a test of 29469 levels and resistance is now likely to be seen at 29688, a move above could see prices testing 29765.
Gold traded in range due to rising U.S. interest rates and strong demand for U.S. Treasury bonds seen as a refuge from trade tensions are expected to weigh.
China is putting additional tariffs of 25 percent on $16 billion worth of U.S. imports from fuel and steel products to autos and medical equipment, the Chinese commerce ministry said, as the world’s largest economies escalated their trade dispute.
The U.S. economy is strong enough to warrant further interest rate increases by the Federal Reserve, Richmond Fed President Thomas Barkin said. China’s exports surged more than expected in July despite U.S. duties and its closely watched surplus with the United States remained near record highs, as the world’s two major economic powers ramp up a bitter dispute that some fear could derail global growth.
Washington said it would impose fresh sanctions on Russia by the end of August after it determined that Moscow had used a nerve agent against a former Russian agent and his daughter in Britain. Private consumption in the euro zone has further room to grow, likely driving economic expansion even as external headwinds multiply, the European Central Bank said in an economic bulletin.
SPDR Gold Trust (GLD), the world’s largest gold-backed exchange-traded fund, said its holdings fell 0.18 percent to 786.08 tonnes on Wednesday from 787.53 tonnes on Tuesday. Key things to watch today include China’s consumer and producer inflation, total social financing and M2 money supply in July, US producer inflation in July, initial jobless claims last week and wholesale inventories in June.
Trading Ideas:
–Gold trading range for the day is 29469-29765.
–Gold traded in range due to rising U.S. interest rates and strong demand for U.S. Treasury bonds seen as a refuge from trade tensions are expected to weigh.
–The United States will begin collecting 25 percent tariffs on another $16 billion in Chinese goods on Aug. 23, the U.S. Trade Representative’s office said.
–Gold-backed ETFs saw outflows in North America, Europe and Asia in July as a strong U.S. dollar helped weaken gold prices, WGC said.
Courtesy: Kedia Commodities
Source: Commodityonline.com
