OPEC-led production cut

Oil prices firmed on Wednesday after a reported fall in US crude inventories and on expectations that an OPEC-led production cut aimed at tightening the market will be extended beyond March 2018.

Brent crude futures, the international benchmark for oil prices, were at $62.81 per barrel at 0112 GMT, up 24 cents, or 0.4 per cent, from their last close.

US West Texas Intermediate (WTI) crude futures were at $57.31 a barrel, up 48 cents, or 0.8 per cent.

Traders said markets were generally well supported by an effort led by the Organization of the Petroleum Exporting Countries (OPEC) and a group of non-OPEC producers led by Russia to restrain output in a bid to end a global supply overhang.

The deal to curb output is due to expire in March 2018, but OPEC will meet on Nov. 30 to discuss the outlook for the policy.

"All eyes remain focused on the OPEC's flux and reflux heading to Vienna as the meeting's outcome will ultimately determine oil prices' near-term fate," said Stephen Innes, head of trading for Asia/Pacific at futures brokerage OANDA.

J.P. Morgan said in its 2018 commodities outlook, released late on Tuesday, that "oil markets in 2018 will be balanced on the back of extended OPEC-NOPEC production cuts," but added that without extended cuts "markets will be in surplus."

The US bank said "we expect Brent to trade at the top of the $40 to $60 per barrel range, with Brent averaging $58 per barrel in 2018. WTI is expected to average $54.6 per barrel."

Traders said there was also some price support from a weekly report on Tuesday by the American Petroleum Institute which said US crude inventories fell by 6.4 million barrels in the week to Nov. 17.

Despite this, traders said crude markets were somewhat capped by rising production in the United States, which has jumped by almost 15 per cent since mid-2016 to 9.65 million barrels per day.

"While an extension of the OPEC deal to limit production may inspire oil bulls short-term, the rising US output is likely to present headwinds, ultimately limiting upside gains," said Lukman Otunuga, analyst at futures brokerage FXTM.

The latest official US production and inventory data is scheduled for release later on Wednesday.

Today gold silver update

MCX Gold futures were down 0.35 per cent, or Rs 104, at Rs 29,399 per 10 gram aroudn 10.35 am (IST), while MCX Silver futures were down 0.48 per cent, or Rs 191, at Rs 39,608 per 1 kg at around the same time.

According to SMC Investments and Advisors, bullion counter may trade with volatile path as the US home sales data, ECB Draghi speech and movement of greenback to give further direction to the prices.

Meanwhile, movement of local currency rupee will give further direction to the prices.

“Gold can move in the range of Rs 29,400-29,650 while silver can move in range of Rs 39,500-40,000 in near term,” SMC said.

Benchmark equity index BSE Sensex surged over 400 points in early trade, while Nifty reclaimed 10,300-mark after Moody's upgraded India’s sovereign credit rating.

Moody's Investors Services upgraded its ratings on India's sovereign bonds on Friday, saying that continued progress on economic and institutional reform will enhance India's high growth potential.

Moody's said it was lifting India's rating to Baa2 from Baa3 and changed its rating outlook to stable from positive as risks to India's credit profile were broadly balanced.

Crude oil price weekly fall oversupply worries

Brent crude futures, the international benchmark for oil prices, were at $61.23 per barrel at 0616 GMT, down 13 cents from their last close.

US West Texas Intermediate (WTI) crude futures were at $55.32 a barrel, up 18 cents. Traders said strong US crude exports were lifting WTI.

Still, crude was on track to fall around 2-4 per cent for the week on worries about growth in US production and inventories, after both benchmarks touched 2015 highs last week.

SELL NATURAL GAS BELOW 205

SELL NATURAL GAS BELOW 205 TGT 203-201 SL 207      10:37

Base metal:Nickel slides; Aluminum and Copper gains

Nickel prices declined by 0.72 per cent to Rs 831.10 per kg in futures trade today as speculators booked profits at existing levels amid easing demand at the spot market.

At the Mcx, nickel for delivery in November shed Rs 6, or 0.72 per cent to Rs 831.10 per kg in a business turnover of 2,148 lots.

Similarly, the metal for delivery in December contracts traded lower by Rs 6, or 0.71 per cent to Rs 836.20 per kg in 57 lots.

Analysts said profit-booking by participants at prevailing levels amid fall in demand from alloy-makers at the spot market, mainly influenced nickel prices at futures trade.

Aluminium
Aluminium prices were marginally higher by 0.18 per cent to Rs 139.90 per kg in futures trade today as speculators created fresh positions amid improved demand in the spot market.

At the Mcx,aluminium for delivery in November inched up by 25 paise, or 0.18 per cent to Rs 139.90 per kg in business turnover of 727 lots.

Similarly, the metal for delivery in December traded higher by 20 paise, or 0.14 per cent to Rs 140.45 per kg in 94 lots.

Analysts said fresh positions built up by participants after uptick in demand from consuming industries in the physical market mainly influenced aluminium prices at futures trade.

Copper
Tracking positive global cues, copper prices edged higher by 0.14 per cent to Rs 457.70 per kg in futures trade today as participants raised bets amid firm trend overseas.

At the Mcx, copper for delivery in far-month February next year was up by 65 paise, or 0.14 per cent to Rs 457.70 per kg in business turnover of 187 lots.

Likewise, the metal for delivery in November traded higher by 50 paise, or 0.11 per cent to Rs 451.45 per kg in 5,315 lots.

Analysts said besides firm trend overseas on expectations of healthy demand from the electric vehicle sector, pick-up in demand in the spot market, mainly led to rise in copper prices at futures trade.

Globally, copper for delivery in three month ended up 1.1 per cent at USD 6,970 per tonne on the London Metal Exchange.

Sell Natural Gas below 204

Sell Natural Gas below 204 Tgt 202-200 SL 206

BUY CRUDE NOV ABV 3750

BUY CRUDE NOV ABV 3750 TGT 3780-3800 SL 3725 ( BUY ABV)  2:16

LEAD SELL BELOW 160.80

LEAD SELL BELOW 160.80 TARGET 159.80-158.50 STOP LOSS 161.90

Positional call Sell ZINC

Positinal Call

Sell ZINC 211-211.050

Target 199

Stoploss 218.50

Target Will be Come in 14 Working Day

SELL ZINC MIN NOV BELOW 210.80

SELL ZINC MIN NOV BELOW 210.80  TGT 209.80 SL211.80    (SELL ONLY  BELOW)

Nickel Nov Sell Below 830

Nickel Nov Sell Below 830 Tgt 824-816  sl 836

Crude Nov Buy 3640

Crude Nov Buy 3640 Target 3660-3680 Sl 3618

Sell copper nov below 448.70

Sell copper nov below 448.70 Tgt 446.70-444.70 Sl 450.70

COMMODITY DAILY REPORT

Market Outlook

NYMEX Crude Nov has resistance at $ 56 levels and support is seen at $ 52 levels.

MCX Crude Mob has resistance at 3572 levels` and support is seen at 3709 levels.

COMEX Gold Dec has resistance at $1296 levels and support is at $ 1256 levels.

MCX Gold Dec has resistance at 29345 levels and support is seen at 29093 levels.

COMEX Silver Dec has resistance at $ 17.35 levels and support is seen at $16.90 levels.

MCX Silver Dec has resistance at 40067 and support is seen at 39065 levels.

COMEX Copper Dec has resistance at $3.30 levels and support is seen at $2.90 levels.

MCX Copper Nov has resistance at 453 levels and support is seen at 444 levels. NEWS Associate of DOHA BANK 

Bank of England Hikes Rates to 0.5 Percent

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Sell Crude Oil Nov Below 3490

Sell Crude Oil Nov Below 3490 Target 3460-3440 Stop Loss 3520

Sell Natural Gas 188.80

Sell Natural Gas 188.80 Target 186.80-184.80  Stop Loss 191

Sell Nickel Nov Below 812

Sell Nickel Nov Below 812 Target 806-800 Stoploss 818( Sell Only Below)

Sell Copper Nov Below 445

Sell Copper Nov Below 445 Target 443-441 StopLoss 447

Fed meeting,fed rate unchanged,December hike view

Fed meeting,fed rate unchanged,December hike view:

Fed meeting kept  interest rates unchanged on Wednesday and pointed to usa economic growth and strengthening labour market while downplaying the impact of recent hurricanes,a sign it is on track to life borrowing cost again in December.