Naturalgas trading range for the day is 165.7-181.5. Naturalgas recovered on short-covering as traders betting a steep fall may be petering out. NOAA said this year’s extremely warm winter has pushed heating demand for natural gas to nearly 20% below average. Market looked ahead to weekly storage data due on Thursday, which is expected to show a draw of 86bcf.
Crudeoil trading range for the day is 3542-3692. Crude oil prices fell sharply as investors looked ahead to weekly data from the U.S. on stockpiles of crude and refined products. Crude inventories fell by 884,000 barrels in the week to Feb. 17 to 512.7 million, compared with expectations for an increase of 3.5 million barrels, data from API showed. Crude stocks at the Cushing, Oklahoma, delivery hub were down by 1.7 million barrels and U.S. crude imports fell last week by 1.5 mbpd to 7.398 mbpd, according to the API.
Silver trading range for the day is 42462-42990. Silver dropped as traders anticipated new clues on the likelihood of a March U.S. interest rate hike with the minutes from FOMC in focus. Many Fed policymakers said it may be appropriate to raise interest rates again "fairly soon" should jobs and inflation data come in line with expectations. The minutes showed the depth of uncertainty at the Fed over the lack of clarity on the new Trump administration's economic programme.
Gold trading range for the day is 29071-29413. Gold slipped as the dollar firmed, with investors looking to minutes from the U.S. Fed’s latest meeting for clues on the timing of interest rate hikes. Minutes from the last U.S. Federal Reserve meeting showed uncertainty among policymakers about the new Trump administration's economic program. Fed Harker suggested he would support an interest rate increase at the U.S. central bank's mid-March policy meeting as long as inflation.
Aluminium trading range for the day is 124.4-127. Aluminium dropped as surplus Chinese production flows into warehouses and drags on global prices. The potential for environmentally driven Chinese smelting capacity closures to skew aluminium price risk higher in the medium term. A major producer has made an indicative offer of a premium of $125 per tonne to Japanese buyers for April-June primary metal shipments, up 32 percent from the last quarter.
Nickel trading range for the day is 705.8-750.2. Nickel prices tank down by -3% on profit booking despite Global nickel market ended in deficit of 51,500 tonnes during 2016. World Nickel mine production was 1,852.7 kt in Jan-Dec 2016, lower by 271.0 kt when compared with the corresponding period in 2015. Philippine government officials fail to back down over threatened closures to over half of the nation’s nickel mines on environmental grounds.
Zinc trading range for the day is 189.7-195.3. Zinc prices ended with losses due to a rise in the dollar and as investors locked in gains after a recent rally. Global refined zinc production witnessed decline of 2.2% during 2016. As per WBMS data, the global zinc market recorded deficit of 177 kt during the full twelve-month period of 2016 from January to November.
Copper trading range for the day is 401.6-408.6. Copper prices recovered from lows amid ongoing supply concerns from industrial action in Chile and an Indonesian export permit dispute underpinned prices. A government-mediated meeting between BHP Billiton and striking workers at its Escondida copper mine in Chile has failed. China's central bank said it would extend a preferential scheme for some banks that would free up additional funds for lending.
Naturalgas trading range for the day is 180.7-192.3. Natural gas dropped by more than 3% hitting the lowest level since November as forecasts continued for mostly warmer-than-normal weather. Trading activity was light as markets in the U.S. remain closed for President’s Day on Monday. Prices of the heating fuel sank more than 7% last week, as forecasts for warm winter weather weighed on heating demand expectations.
Crudeoil trading range for the day is 3594-3656. Crude oil gained as prices remained supported amid efforts by producers to cut output and bring the market into balance. U.S. energy companies added oil rigs for a fifth consecutive week, Baker Hughes said, extending a nine-month recovery. Overall, 2017 U.S. production will rise by an average 130,000 bpd from a year ago, the note said.
Silver trading range for the day is 42496-43140. Silver traded in range after a further signal that a rate hike in March is a solid possibility in otherwise light trade with U.S. markets shut for a holiday. Market activity is likely to be largely subdued until guidance on the pace of interest rate hikes from a raft of Federal Reserve speakers. At least five Fed officials are due to speak this week, while Fed Board Governor Jerome Powell appears on Wednesday.
Gold trading range for the day is 29144-29404. Gold prices held steady with investors looking ahead to a clutch of speeches from Fed officials in the week for clues on the timing of possible interest rate hikes. Cleveland Fed chief Loretta Mester said she would be comfortable raising interest rates at this point if the economy kept performing the way it did. Net long gold positions on COMEX fell 9% to 63,625 contracts in the week to February 14, CFTC data showed Monday.
Naturalgas trading range for the day is 188.1-196.3. Natural gas prices fell for the third straight week, setting a three-month low as a historically mild winter continues to drag on the market. The U.S. Energy Information Administration said in its weekly report that natural gas storage in the U.S. declined by 114 billion cubic feet. That compared with a withdrawal of 152 billion cubic feet in the preceding week, 163 billion a year earlier .
Aluminium trading range for the day is 123.5-128.1. Aluminium prices dropped tracking LME prices closed down 0.9 percent at $1,880 a tonne as weakness in other base metals counter weighed. According to Rusal, the China is expected to see only a moderate surplus despite 4mts of new capacity and some restarted capacity in 2016. Reinforcing the idea of a pick-up in Chinese demand was new loans data; banks extended 2.03 trillion yuan ($295.74 billion) in net new yuan loans in January.
Nickel trading range for the day is 720.6-749.8. Nickel prices recovered from lows on mounting concerns about supplies after the suspension of mines in top ore producer the Philippines. The Philippines this week ordered the cancellation of 75 mineral production-sharing agreements as developing them would threaten water supply. Stocks of nickel in LME-approved warehouses stand at around 380,000 tonnes, while those in SHFE-warehouses total’s at 89,000 tonnes.