Natural Gas market under fresh selling; Support seen at 199.2
Silver market under short covering; Support seen at 36893
Gold market under fresh buying; Support seen at 30211
MCX Crude Palm Oil under long liquidation
Ref. Soya Oil market under fresh Selling; Resistance seen at 752
Technically MCX Crude Oil is getting support at 4909 and below same could see a test of 4884 levels and resistance is now likely to be seen at 4974, a move above could see prices testing 5014.
Crude Oil on MCX settled down -1.56% at 4934 as traders eased bets on disruptions to domestic crude production after a U.S.-Gulf-bound storm did not make landfall near oil-producing areas. U.S. crude stockpiles fell last week as refineries boosted output amid strong consumption, data from industry group the American Petroleum Institute showed.
Crude inventories fell by 1.17 million barrels to 404.5 million barrels in the week to Aug. 31, while refinery crude runs rose by 198,000 barrels per day, the API data showed. The producer cartel of the Organization of the Petroleum Exporting Countries (OPEC) said that it expected global oil demand to break through 100 million barrels per day for the first time later this year.
OPEC Secretary-General Mohammad Barkindo said that world oil consumption would hit 100 million barrels per day later this year, “much sooner” than earlier projected. Barkindo added at an oil and power conference in South Africa that OPEC was exploring ways of further institutionalizing a declaration of cooperation.
“The world will attain the 100 million barrels a day mark of consumption later this year, much sooner than we all earlier projected. Therefore stabilizing forces which create conditions conducive to attracting investments are essential,” he said.
Broad emerging market weakness is weighing on global economic growth prospects. Meanwhile, a public comment period on possible U.S. tariffs on another $200 billion of Chinese goods ends on Thursday, with expectations that U.S. President Donald Trump will impose the additional levies. Given that China and emerging markets more broadly are key demand growth areas for oil markets.
Trading Ideas:
–Crude Oil trading range for the day is 4884-5014.
–Crude oil dropped as a tropical storm hitting the U.S. Gulf coast weakened, offsetting support from forecasts of lower U.S. inventories and sanctions against Iran.
–OPEC Secretary-General Mohammad Barkindo said that world oil consumption would hit 100 million barrels per day later this year, “much sooner” than earlier projected.
–U.S. crude stockpiles fell last week as refineries boosted output amid strong consumption, data from industry group the American Petroleum Institute showed.
Courtesy: Kedia Commodities
Source: Commodityonline.com
