Daily Report for 19th July 2012

Daily Report

      Commodities Market Summary

Oil rose a seventh day in New York, the longest run of gains since February, after U.S. gasoline supplies unexpectedly shrank and housing starts climbed, signaling fuel demand may increase amid an economic recovery. Futures advanced as much as 0.5 percent to the highest level in seven weeks. Gasoline stockpiles decreased 1.8 million barrels last week, the Energy Department said in a report. Oil for August delivery gained as much as 42 cents to $90.29 a barrel in electronic trading on the New York Mercantile Exchange and was at $90.25 at 11:21 a.m. Singapore time. The contract expires tomorrow, and the more-active September future was up 38 cents at $90.55. Front-month prices gained 65 cents to $89.87 yesterday, the highest close since May 29, and are 8.7 percent lower this year. Brent crude for September settlement was at $105.81 a barrel, up 0.6 percent, on the London-based ICE Futures Europe exchange. The European benchmark contract was at a premium to West Texas Intermediate of $15.26, from $14.99 yesterday. Gold futures fell the most in a week after Federal Reserve Chairman Ben S. Bernanke provided no specific plans for more purchases of U.S. debt to bolster the economy. Bernanke told lawmakers yesterday that policy makers are studying options for further easing. The dollar rebounded against a basket of currencies, eroding the appeal of precious metals as alternative investments. On the Comex in New York, gold futures for August delivery fell 1.2 percent to close at $1,570.80 an ounce at 1:42 p.m., the biggest drop for a most-active contract since July 6. The price has dropped 17 percent from the record settlement on Aug. 22. Gold surged 70 percent from the end of December 2008 to June 2011 as the central bank kept borrowing costs at a record low and bought $2.3 trillion of debt in two rounds of so-called quantitative easing. Policy makers are scheduled to announce a rate decision on Aug. 1. Silver futures for September delivery dropped 0.8 percent to $27.095 an ounce. The metal has slumped 33 percent in the past 12 months. On the New York Mercantile Exchange, platinum futures for October delivery fell 1.2 percent to $1,404.20 an ounce. Palladium futures for September delivery slipped 1 percent to $577.55 an ounce.

Levels for the Day

Name	RES2	RES1	S/R	SUP1	SUP2	RECOMMENDATION
ALUMINIUM (31JUL12)	105.5	105.1	104.6	104.2	103.7
COPPER (31AUG12)	428.15	426.95	425.05	423.85	421.95	Buy at 426/427 SL 423 TGT 432/435
CRUDEOIL (19JUL12)	5034	5001	4946	4913	4858
GOLD (04AUG12)	29347	29253	29197	29103	29047
SILVER (05SEP12)	53104	52905	52720	52521	52336
LEAD (31JULN12)	105.75	105.4	104.85	104.5	103.95
NATURALGAS (26JUL12)	172.05	168.05	160.95	156.95	149.85	Buy at 163/164 SL 160 TGT167/168
NICKEL (31JUL12)	901	897.4	893.8	890.2	886.6	Buy at 896 SL 890 TGT 906/910
ZINC (31JUL12)	104.05	103.8	103.5	103.25	102.95

     Important Events for the Day

19th July 2012 (Time – IST) GBP Retail Sales (YoY) (JUN) at 14:00 (Survey 2.6%, Previous 3.0%) USD Existing Home Sales (JUN) at 19:30 (Survey 4.62M, Previous 4.55M)

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