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Gold

Gold yesterday settled up by 0.96% at 46362 buoyed by a weaker dollar in tandem with US Treasury yields, which retreated further from more than one-year highs. Still, robust economic data from China and the United States and an accelerating vaccination rollout raised hopes for a faster economic recovery, capping much of bullion's upside momentum. Investors were re-calibrating their expectations on the Fed's monetary policy, with some investors expecting the Fed to abandon its pledge to keep interest rates near zero until 2024. It is not yet time for the central bank to pull back on its support of the U.S. economy, but reducing stimulus when the pandemic abates and more economic progress is made will help keep the recovery on track, Dallas Federal Reserve Bank President Robert Kaplan told. “When we’re in the middle of a crisis, we should be aggressively using our tools, so I agree with what we’re doing now in terms of asset purchases and stance of policy generally,” Kaplan said in an interview. “There’s reason to be optimistic about the future,” Kaplan said, adding, “Having said that, I would also emphasize it is my view that we’re not out of the woods yet.” Technically market is under short covering as market has witnessed drop in open interest by -1.17% to settled at 12286 while prices up 443 rupees, now Gold is getting support at 45930 and below same could see a test of 45497 levels, and resistance is now likely to be seen at 46608, a move above could see prices testing 46853.

Trading Ideas:

* Gold trading range for the day is 45497-46853.

* Gold prices gained supported by weakness in Rupee in tandem with US Treasury yields, which retreated further from more than one-year highs.

* However upside seen limited amid robust economic data from China and US and an accelerating vaccination rollout raised hopes for a faster economic recovery. 

* Fed's Kaplan says U.S. economy still needs central bank support

 

Silver 

 

Silver yesterday settled up by 1.12% at 66634 tracking rise in base metals prices supported by expectations of increased industrial demand as the economic recovery gathers pace. Also, US Treasury yields continued to retreat from more than 1-year highs while the dollar index remained close to 2-week lows. Data showed U.S. job openings rose to a two-year high in February, while strengthening domestic demand helped hiring amid increased COVID-19 vaccinations and additional pandemic aid from the government. The International Monetary Fund raised its outlook for global economic growth again, forecasting worldwide output would rise 6% this year, a rate unseen since the 1970s. Central banks across the globe, in particular the European Central Bank and the Federal Reserve, want to see higher growth and inflation numbers before they think about changing monetary policy. Economic optimism prevails after data showed U.S. job openings rose to a two-year high in February and hiring picked up on strengthening domestic demand. Money managers in the silver markets cut their net long futures and options positions in the latest week, according to data from the Commodity Futures Trading Commission. Comex gold speculators cut their net long position by 5,548 contracts to 50,463 in the week ended March 30. Meanwhile, Comex silver speculators cut their net long position by 1,659 contracts to 21,236 in the week. Technically market is under fresh buying as market has witnessed gain in open interest by 1.79% to settled at 9706 while prices up 737 rupees, now Silver is getting support at 65948 and below same could see a test of 65261 levels, and resistance is now likely to be seen at 67053, a move above could see prices testing 67471.  

Trading Ideas:

* Silver trading range for the day is 65261-67471.

* Silver prices gained tracking rise in base metals prices supported by expectations of increased industrial demand as the economic recovery gathers pace

* Also, US Treasury yields continued to retreat from more than 1-year highs while the dollar index remained close to 2-week lows.

* U.S. job openings rose to 2-year high in February

 

Crude oil

 

Crude oil yesterday settled up by 1.76% at 4444 supported by data showing a drop in U.S. crude inventories in the week ended April 2. The International Monetary Fund said unprecedented public spending to fight COVID-19 would push global growth to 6% this year, a rate unseen since the 1970s. Prices were buoyed as data showed U.S. job openings rose to a two-year high in February while hiring picked up. This followed earlier data showing improvement in the services sectors in the U.S. and China. U.S. crude oil stockpiles fell more than expected in the week ended April 2, while fuel inventories rose, according to three market sources, citing American Petroleum Institute (API) figures. U.S. crude oil production is expected to fall by 270,000 barrels per day (bpd) in 2021 to 11.04 million bpd, the U.S. Energy Information Administration (EIA) said, a steeper decline than its previous forecast for a drop of 160,000 bpd. The agency said it expects U.S. petroleum and other liquid fuel consumption to rise 1.32 million bpd to 19.44 million bpd in 2021, compared with a previous forecast for a rise of 1.41 million bpd. Technically market is under fresh buying as market has witnessed gain in open interest by 30.35% to settled at 4690 while prices up 77 rupees, now Crude oil is getting support at 4361 and below same could see a test of 4278 levels, and resistance is now likely to be seen at 4498, a move above could see prices testing 4552.

Trading Ideas:

* Crude oil trading range for the day is 4278-4552.

* Crude oil settled higher supported by data showing a drop in U.S. crude inventories in the week ended April 2.

* U.S. crude oil stockpiles fell more than expected in the week ended April 2, while fuel inventories rose

* U.S. crude output to decline more than previously forecast in 2021 – EIA

 

Nat.Gas 

 

Nat.Gas yesterday settled up by 3.39% at 189 as the drop in prices encourages power generators to burn more gas and less coal to produce electricity and on forecasts for slightly cooler weather over the next two weeks. Data provider Refinitiv said output in the Lower 48 U.S. states averaged 92.2 billion cubic feet per day (bcfd) so far in April, up from March's 91.6-bcfd average but still well below the record monthly high of 95.4 bcfd in November 2019. Refinitiv projected average gas demand, including exports, would rise from 89.7 bcfd this week to 90.2 bcfd next week as low gas prices prompt power generators to burn more gas and less coal. That demand is a little higher than Refinitiv projected on Tuesday. The amount of gas flowing to U.S. liquefied natural gas (LNG) export plants, meanwhile, averaged 11.4 bcfd so far in April, which would top March's monthly record of 10.8 bcfd. Buyers around the world continue to purchase near-record amounts of U.S. gas because prices in Europe and Asia remain high enough to cover the cost of buying and transporting the U.S. fuel across the ocean. Technically market is under fresh buying as market has witnessed gain in open interest by 24.28% to settled at 14509 while prices up 6.2 rupees, now Natural gas is getting support at 183.3 and below same could see a test of 177.6 levels, and resistance is now likely to be seen at 192.3, a move above could see prices testing 195.6.

Trading Ideas: 

* Natural gas trading range for the day is 177.6-195.6.

* Natural gas edged up as the drop in prices encourages power generators to burn more gas and on forecasts for slightly cooler weather over the next two weeks.

* U.S. utilities added 14 billion cubic feet (bcf) of natural gas to storage last week, lower than the expected 21 bcf injection.

* Refinitiv estimated 174 heating degree days (HDDs) over the next two weeks in the lower 48 U.S. states.

 

Copper

 

Copper yesterday settled up by 0.09% at 689.35 as downstream demand will improve further amid a traditional high season and many copper smelters will conduct maintenance in April. Yangshan copper premium was last at $57 a tonne, hovering around its lowest since Nov. 30, 2020, indicating subdued demand for imported copper into China where consumption is expected to be strong in the second quarter. China’s foreign exchange reserves fell more than expected in March, official data showed, as the dollar posted a gain against a basket of major currencies. The country’s foreign exchange reserves - the world’s largest - fell $34.97 billion to $3.17 trillion last month, compared with the $3.19 trillion and $3.205 trillion in February. Foreign inflows into Chinese stocks and bonds have been strong as China gallops ahead of other major economies in its recovery from the coronavirus pandemic. China held 62.64 million fine troy ounces of gold at the end of March, unchanged from the end-February. China's imports of copper scrap surged over the first two months of 2021, jumping by 60% year-on-year to 191,720 tonnes. A new import regime reclassifying scrap as a "resource" came into effect last November, removing high-grade copper recyclables from the list of "solid wastes" that are now banned. Technically market is under short covering as market has witnessed drop in open interest by -1.08% to settled at 2745 while prices up 0.65 rupees, now Copper is getting support at 685.2 and below same could see a test of 680.9 levels, and resistance is now likely to be seen at 694.3, a move above could see prices testing 699.1. 

Trading Ideas:

* Copper trading range for the day is 680.9-699.1.

* Copper prices gained as downstream demand will improve further amid a traditional high season and many copper smelters will conduct maintenance in April.

* Yangshan copper premium was last at $57 a tonne, hovering around its lowest since Nov. 30, 2020

* Higher Chinese imports herald coming copper scrap surge

 

Zinc

 

Zinc yesterday settled up by 1.25% at 226.45 amid falling US dollar and US Treasury yields, and the International Monetary Fund raised its 2021 growth outlook for the global economy to 6%. Treatment charges for domestic zinc concentrate continued to fall and rising production costs supported prices. In addition, zinc social inventories shrank further as downstream users restocked on demand. Data showed that social inventories of refined zinc ingots across Shanghai, Tianjin, Guangdong, Jiangsu, Zhejiang, Shandong and Hebei decreased 14,500 mt in the week ended April 2 to 233,500 mt. The stocks fell 8,800 mt from Monday March 29. Prices also remained supported in the wake of improving economic prospects backed by the Biden government’s more than $2 trillion stimulus plan. Stocks in Shanghai decreased due to increasing purchase volume of the downstream when zinc prices fell. In south China's Guangdong, market arrivals decreased with stable downstream demand, which led to the continuous decrease in stocks. China’s economic recovery continued in March, powered by a strong surge in the service sector, data showed. The global zinc market was oversupplied by 11,700 tonnes in January after a revised surplus of 23,500 tonnes in December, data from the International Lead and Zinc Study Group (ILZSG) showed. For 2020, the surplus in the roughly 13.5 million tonne a year market was 536,000 tonnes, according to the ILZSG. Technically market is under fresh buying as market has witnessed gain in open interest by 11.32% to settled at 2301 while prices up 2.8 rupees, now Zinc is getting support at 224.1 and below same could see a test of 221.5 levels, and resistance is now likely to be seen at 228.2, a move above could see prices testing 229.7.

Trading Ideas:

* Zinc trading range for the day is 221.5-229.7.

* Zinc prices increased amid falling US dollar and US Treasury yields, and IMF raised its 2021 growth outlook for the global economy to 6%.

* Treatment charges for domestic zinc concentrate continued to fall and rising production costs supported prices.

* Data showed that social inventories of refined zinc ingots decreased 14,500 mt in the week ended April 2 to 233,500 mt.

 

Nickel

 

Nickel yesterday settled up by 0.75% at 1256.7 as support seen after IMF predicted that China's economy will grow by 8.4%.The International Monetary Fund (IMF) raised its global growth forecast to 6% this year, the fastest growth rate in 40 years. However, the IMF warned that the recovery of developed and underdeveloped economies will be divided. US Treasury Secretary Yellen encouraged financial institutions to "adjust their investment portfolios and strategies" to meet climate targets, and sought to link tax policies with climate targets. Market sentiment was relatively stable. In terms of data, the number of job vacancies in the US rose to a two-year high in February, indicating that corporate recruitment may increase steadily in the coming months. Euro zone business activity bounced back to growth last month, underpinned by a record expansion in manufacturing, according to a survey that also showed the service industry was coping better than expected with new lockdowns. Europe is battling a third wave of coronavirus infections and governments - also struggling with vaccine programmes beset by delays - have re-imposed curbs on citizens and forced swathes of the dominant services industry to remain closed. But IHS Markit’s Services Purchasing Managers’ Index (PMI) rose to 49.6 in March from February’s 45.7, much higher than a flash estimate of 48.8 and only just shy of the 50 mark that separates growth from contraction. Technically market is under short covering as market has witnessed drop in open interest by -7.21% to settled at 1416 while prices up 9.3 rupees, now Nickel is getting support at 1241.4 and below same could see a test of 1226.1 levels, and resistance is now likely to be seen at 1269.1, a move above could see prices testing 1281.5.

Trading Ideas:

* Nickel trading range for the day is 1226.1-1281.5.

* Nickel prices gained as support seen after IMF predicted that China's economy will grow by 8.4%.

* The IMF raised its global growth forecast to 6% this year, the fastest growth rate in 40 years

* US Treasury Secretary Yellen encouraged financial institutions to "adjust their investment portfolios and strategies" to meet climate targets

 

Aluminium

 

Aluminium yesterday settled up by 0.99% at 182.75 as new US infrastructure plan to boost market confidence. The US economic data was upbeat last week, with new orders growing strongly. The manufacturing PMI stood at 64.7, the highest since 1983, and ADP non-farm payrolls stood at the highest since September 2020. Upbeat PMI in China boosted bulls confidence, bolstering Chinese stocks and commodities. The follow-up new infrastructure plan in the United States became the latest bait of the bulls. US President Biden officially announced last Thursday a stimulus package of over $2 trillion, aiming at optimizing the development of US infrastructure and manufacturing industry. In the aluminium scrap market, import restrictions reduced supply, while high and volatile aluminium prices curbed downstream purchase. As it is difficult for prices of traditional gasoline cars, the biggest consumer of aluminium scrap tense, to rise, the sharp increase in the price of raw materials will not be acceptable to buyers. The standards for imported raw materials remain strict. Some importers tried to import raw materials into the domestic market through ports in Guangdong, but it was heard that most of the cargoes were rejected. With the import window still closed, most of the aluminium scrap that arrived recently was ordered before CNY. Technically market is under fresh buying as market has witnessed gain in open interest by 14.41% to settled at 2009 while prices up 1.8 rupees, now Aluminium is getting support at 181 and below same could see a test of 179.3 levels, and resistance is now likely to be seen at 183.8, a move above could see prices testing 184.9.

Trading Ideas:

* Aluminium trading range for the day is 179.3-184.9.

* Aluminium prices gained as new US infrastructure plan to boost market confidence.

* The US economic data was upbeat last week, with new orders growing strongly

* Upbeat PMI in China boosted bulls confidence, bolstering commodities.

 

Mentha oil

 

Mentha oil yesterday settled down by -0.24% at 955.9 amid weak demand from cosmetics and toiletries sector in India. The COVID-19 outbreak has had a huge impact on the worldwide economy, and has posed a similar influence on the aroma chemicals market. The market has been faced with the lack of migrant labor, supply chain disruptions, shutdown of manufacturing activities, to name a few. Support also seen on the expectation that India’s fragrance industry which had been slow, now slowly gaining the positive momentum post the COVID unlock down. Headed towards a new decade, the fragrance industry has received a much needed boost with the acceptance of trendy dhoop sticks and dhoop cones which has seen an increased 20% demand day by day. The global aroma chemicals market is likely to record a steady CAGR of about 4% during the assessment period of 2020-2030. Growing demand for aroma chemicals in the food & beverage and fragrance industry will underpin the growth of the market. Strict regulations in relation to artificial flavours are complimenting to the expansion of natural aroma chemicals in the food sector. Out of India's total mentha oil exports, nearly 55% goes to China while 16% goes to the US and around 5% goes to Singapore. In Sambhal spot market, Mentha oil gained by 20.9 Rupees to end at 1082.1 Rupees per 360 kgs. Technically market is under fresh selling as market has witnessed gain in open interest by 4.55% to settled at 46 while prices down -2.3 rupees, now Mentha oil is getting support at 952.4 and below same could see a test of 949 levels, and resistance is now likely to be seen at 959.1, a move above could see prices testing 962.4. 

Trading Ideas:

* Mentha oil trading range for the day is 949-962.4.

* In Sambhal spot market, Mentha oil gained  by 20.9 Rupees to end at 1082.1 Rupees per 360 kgs.

* Mentha oil prices dropped amid weak demand from cosmetics and toiletries sector in India.

* The COVID-19 outbreak has had a huge impact on the worldwide economy, and has posed a similar influence on the aroma chemicals market.

* The global aroma chemicals market is likely to record a steady CAGR of about 4% during the assessment period of 2020-2030.

 

Soyabean  

 

Soyabean yesterday settled down by -1.24% at 6355 on profit booking as rising Covid cases hurting demand after prices gained as concerns over lower U.S. planting and rain-delayed harvest in Brazil supported prices. European Union soybean imports in the 2020/21 season that started last July had reached 11.20 million tonnes by April 4, data published by the European Commission showed. Support also seen on concerns about U.S. supplies dwindling due to strong export demand and smaller-than-expected plantings. The U.S. Department of Agriculture shocked traders last week by reporting that U.S. farmers plan to sow 87.6 million acres with soybeans this spring. Post forecasts that Brazilian producers will expand soybean planted area to reach 40 million hectares (ha) in the 2021/22 season, up from the estimated 38.5 million ha planted in the 2020/21 season. Post forecasts 2021/22 soybean production at 141 million metric tons (MMT), up from the estimated 134 MMT harvest this season. Soybean expansion is forecast on current market conditions and trends – including strong demand, high prices, and a favorable exchange rate. All these conditions are expected to persist well into the 2021/22 season. Soybean exports are forecast to hit records this season and next at 85 MMT and then 87 MMT. At the Indore spot market in top producer MP, soybean gained 59 Rupees to 6666 Rupees per 100 kgs. Technically market is under long liquidation as market has witnessed drop in open interest by -12.21% to settled at 36875 while prices down -80 rupees, now Soyabean is getting support at 6285 and below same could see a test of 6214 levels, and resistance is now likely to be seen at 6453, a move above could see prices testing 6550

Trading Ideas: 

* Soyabean trading range for the day is 6214-6550

* Soyabean dropped on profit booking as rising Covid cases hurting demand after prices gained as concerns over lower U.S. planting and rain-delayed harvest in Brazil

* European Union soybean imports in the 2020/21 season that started last July had reached 11.20 million tonnes by April 4

* USDA attache projects Brazil 2021/22 soybean production at 141 mln tonnes

* At the Indore spot market in top producer MP, soybean gained  59 Rupees to 6666 Rupees per 100 kgs.

 

Ref.Soyaoil

 

Ref.Soyaoil yesterday settled down by -1.58% at 1306.3 on profit booking after reports that cabinet minister Piyush Goyal said in parliament government is watching edible oils and may take step to control high prices. Export of oilmeals jumped 205% year-on-year in February to 393,309 tonne, compared with 128,761 tonne, according to data compiled by the Solvent Extractors’ Association of India (SEA). The overall export of oilmeals during April 2020 to February 2021 recovered sharply and stood at 3,358,649 tonne provisionally, against 2,256,614 tonne during the same period of the previous year, up by 49%, according to the association. The export of soybean meal jumped mainly because of better realisations, thanks to lesser supply from Argentina and Brazil, coupled with good demand of non-GMO soybean meal from the US and Europe, the association said in a statement. Support also seen due to tightening global supplies. However upside seen limited due to better crop weather in drought-hit South America. The U.S. soybean crush was well below trade expectations in February, sinking to the lowest in 17 months, according to data released by the National Oilseed Processors Association (NOPA). NOPA members, which handle about 95 percent of all soybeans processed in the United States, crushed 155.158 million bushels of soybeans last month, the lowest for a single month since September 2019. At the Indore spot market in Madhya Pradesh, soyoil was steady at 1335.65 Rupees per 10 kgs. Technically market is under long liquidation as market has witnessed drop in open interest by -11.81% to settled at 29520 while prices down -21 rupees, now Ref.Soya oil is getting support at 1296 and below same could see a test of 1286 levels, and resistance is now likely to be seen at 1324, a move above could see prices testing 1342.

Trading Ideas:

* Ref.Soya oil trading range for the day is 1286-1342.

* Ref soyoil dropped as government is watching edible oils and may take step to control high prices.

* Export of oilmeals jumped 205% year-on-year in February to 393,309 tonne, compared with 128,761 tonne

* The U.S. soybean crush was well below trade expectations in February, sinking to the lowest in 17 months

* At the Indore spot market in Madhya Pradesh, soyoil was steady at 1335.65 Rupees per 10 kgs.

 

Crude palm Oil 

 

Crude palm Oil yesterday settled down by -1.13% at 1134.1 as Malaysia's palm oil inventories likely inched higher by the end of March as production advanced for the first time in six months, though a surge in exports kept supply tight. The palm oil stockpile in the world's second-largest producer was expected to rise 1.3% from February to 1.32 million tonnes. Production, which had been shrinking since September due to wet weather conditions and a pandemic-induced labour crunch, is expected to have jumped 25% to a four-month high of 1.38 million tonnes. The Malaysian Palm Oil Council (MPOC) said it expects the benchmark crude palm oil price to average 3,846 ringgit a tonne during the first half of the year and will peak at 4,190 ringgit a tonne. Exports of Malaysian palm oil products for March 1-31 rose 18.3% to 1,245,567 tonnes from 1,052,779 tonnes shipped during Feb 1-28, cargo surveyor Societe Generale de Surveillance said . Sri Lanka banned imports of palm oil and new palm plantations, and told producers to uproot existing plantations in a phased manner, in a surprise move that baffled the edible oil industry. Sri Lanka's President Gotabaya Rajapaksa said in a statement the aim was to "make the country free from oil palm plantation and palm oil consumption." In spot market, Crude palm oil gained by 4.8 Rupees to end at 1181.8 Rupees. Technically market is under long liquidation as market has witnessed drop in open interest by -2.27% to settled at 5893 while prices down -13 rupees, now CPO is getting support at 1126.3 and below same could see a test of 1118.4 levels, and resistance is now likely to be seen at 1146.8, a move above could see prices testing 1159.4.

Trading Ideas: 

* CPO trading range for the day is 1118.4-1159.4.

* Crude palm oil prices dropped as Malaysia's palm oil inventories likely inched higher by the end of March as production advanced for the first time in six months

* The palm oil stockpile in the world's second-largest producer was expected to rise 1.3% from February to 1.32 million tonnes.

* Malaysia's March 1 – 31 palm oil exports rose 18.3% – SGS

* In spot market, Crude palm oil gained  by 4.8 Rupees to end at 1181.8 Rupees.

 

Mustard Seed

 

Mustard Seed yesterday settled down by -0.39% at 6096 as arrivals increased on commencement of new season crop arrivals in the mandis. Arrivals in its major producing states i.e. Rajasthan, Gujarat, Madhya Pradesh, Uttar Pradesh and West Bengal rose compared to last Month. At all India level, the total arrivals is higher by 418% on M-o-M basis and 199% at Y-o-Y basis. However unseasonal rains and hailstorms in key states like Rajasthan, Madhya Pradesh, Maharashtra and Uttar Pradesh were observed but no major crop damage was reported. As per USDA, World Mustard seed production is estimated to remain steady at 689 lakh tonnes in 2020-21. The beginning stock estimated to fall by 25% y-o-y, taking the total supply to decline by 2% to 923 lakh tonnes as compared to 944 lakh tonnes recorded in the last year. Total consumption and ending stocks are also estimated to be lower by 1% and 29% respectively. World export is also estimated to increase by 5% to 162 lakh tonnes as compared to 155 lakh tonnes last year. As per Second Advance Estimates of Production of Food grains for 2020-21 released on Feb 24, 2021 by Ministry of Agriculture, Mustard Production for 2020-21 has been estimated to 104.27 lakh tonnes which is 14.28% higher as compare to 91.24 lakh tonnes during the last year. In Alwar spot market in Rajasthan the prices gained 40.5 Rupees to end at 6140.5 Rupees per 100 kg. Technically market is under long liquidation as market has witnessed drop in open interest by -2.9% to settled at 35480 while prices down -24 rupees, now Rmseed is getting support at 6048 and below same could see a test of 5999 levels, and resistance is now likely to be seen at 6173, a move above could see prices testing 6249.

Trading Ideas:

* Rmseed trading range for the day is 5999-6249.

* Mustard seed prices dropped as arrivals increased on commencement of new season crop arrivals in the mandis.

* Arrivals in its major producing states i.e. Rajasthan, Gujarat, Madhya Pradesh, Uttar Pradesh and West Bengal rose compared to last Month.

* However unseasonal rains and hailstorms in key states like Rajasthan, MP, Maharashtra and UP were observed but no major crop damage was reported.

* In Alwar spot market in Rajasthan the prices gained 40.5 Rupees to end at 6140.5 Rupees per 100 kg.

 

Turmeric

 

Turmeric yesterday settled down by -1.21% at 8004 as demand declined at higher levels and arrivals increased in Nizamabad and Erode. Pressure also seen as no demand for shipments at current prices of around ₹9,000 and export prospects of turmeric have been affected. The arrival of dry goods in the coming days, the quality will also start to improve. Prices seen pressure as sentiments again drown down after the Central government clarified that a turmeric board would not be set up in Nizamabad as the existing spices board was already handling 50 spices including turmeric. Export prospects of turmeric have been affected following a 30 per cent increase in its prices since the beginning of this month across various primary agricultural markets in the country. According to data by the Ministry of Agriculture, turmeric production was estimated at 9.46 lakh tonnes during the 2019-20 season (July-June), compared with 9.61 lakh tonnes the previous year, despite the area under the crop rising by 4,000 hectares to 2.57 lakh hectares. According to data by the Spices Board, turmeric exports during the April-September period of the current fiscal were 99,000 tonnes compared with 69,500 tonnes during the same period a year ago with the value of the shipments rising 35 per cent. In Nizamabad, a major spot market in AP, the price ended at 7700 Rupees gained 8.8 Rupees. Technically market is under long liquidation as market has witnessed drop in open interest by -9.73% to settled at 4500 while prices down -98 rupees, now Turmeric is getting support at 7908 and below same could see a test of 7810 levels, and resistance is now likely to be seen at 8146, a move above could see prices testing 8286.  

Trading Ideas:  

* Turmeric trading range for the day is 7810-8286.

* Turmeric dropped as demand declined at higher levels and arrivals increased in Nizamabad and Erode.

* Pressure also seen as no demand for shipments at current prices of around ₹9,000 and export prospects of turmeric have been affected.

* Prices seen pressure as sentiments again drown down after the Central government clarified that a turmeric board would not be set up in Nizamabad

* In Nizamabad, a major spot market in AP, the price ended at 7700 Rupees gained 8.8 Rupees.

 

Jeera 

 

Jeera yesterday settled down by -1.36% at 14505 as mandi arrivals of Jeera, at all-India level increased by around 48% during the month over the previous month and by 43% over the corresponding period of the previous year. New season crop arrivals are reported in both the key producing states, viz., Gujarat and Rajasthan, which seem to have led to higher mandi arrivals. However, new season crop is reported to have higher moisture level. This, indirectly, lent support to prices of better quality produce. In the progressive 2020-21 Rabi season, Jeera acreage in Gujarat, is reported at 4.69 lakh hectares, lower by 4% from 4.88 lakh hectares a year ago. The area sown in Gujarat is 15% more than 5-year average sown area during the corresponding period. Good rainfall during October which has improved required soil moisture which is expected to augur well for production of Rabi crops, including Jeera. On the export front, India exported around 2.30 lakh tonnes of Jeera in April-December, 2020 which is 36% higher than April-December 2019 at 1.69 lakh tonnes. In Dec 2020, Jeera exports reported at 0.27 lakh tonnes, have been 52% higher than 0.18 lakh tonnes recorded in the previous month. Jeera exports from India has already surpassed the total exports (2.14 lakh tonnes) recorded for the last year (2019-20). In Unjha, a key spot market in Gujarat, jeera edged down by -86.5 Rupees to end at 14310.55 Rupees per 100 kg. Technically market is under long liquidation as market has witnessed drop in open interest by -5.6% to settled at 2529 while prices down -200 rupees, now Jeera is getting support at 14405 and below same could see a test of 14300 levels, and resistance is now likely to be seen at 14660, a move above could see prices testing 14810. 

Trading Ideas:

* Jeera trading range for the day is 14300-14810.

* Jeera dropped as pressure seen as mandi arrivals of Jeera, at all-India level increased by around 48% during the month 

* New season crop arrivals are reported in Gujarat and Rajasthan, seems to have led to higher mandi arrivals.

* However, new season crop is reported to have higher moisture level.

* In Unjha, a key spot market in Gujarat, jeera edged down by -86.5 Rupees to end at 14310.55 Rupees per 100 kg.

 

Cotton​​​​​​​

 

Cotton yesterday settled up by 0.19% at 21610 tracking rise in overseas prices on mill fixations and expectations supplies will remain tight as forecasts pointed to dry weather in West Texas, the largest U.S cotton-producing region. The U.S Department of Agriculture's (USDA) weekly crop progress report showed the cotton crop was 6% planted in the week ended April 4, 1% below the same week a year-ago. Cotton exports so far this season (October 2020 to September 2021), have clocked 47 lakh bales and are expected to touch 60-70 lakh bales by the end of the season. Supply of cottonseeds might become tight in the coming kharif season if farmers decide to expand the area under the fibre crop going by the high price that prevailed during the current season to September. India has raised the price of genetically modified cotton seeds by 5% for the fiscal year that began in March, a government order said, potentially boosting revenues of leading local seed makers. According to the order, the Ministry of Agriculture and Farmers' Welfare has raised the price of genetically modified cotton seeds to 767 rupees for a 450-gram packet, up from 730 rupees. In spot market, Cotton gained by 100 Rupees to end at 21880 Rupees. Technically market is under short covering as market has witnessed drop in open interest by -2.84% to settled at 7185 while prices up 40 rupees, now Cotton is getting support at 21320 and below same could see a test of 21030 levels, and resistance is now likely to be seen at 21820, a move above could see prices testing 22030.

Trading Ideas:

* Cotton trading range for the day is 21030-22030.

* Cotton gained tracking rise in overseas prices on mill fixations and expectations supplies will remain tight as forecasts pointed to dry weather in West Texas

* USDA weekly crop progress report showed the cotton crop was 6% planted in the week ended April 4, 1% below the same week a year-ago.

* Cotton exports so far this season, have clocked 47 lakh bales and are expected to touch 60-70 lakh bales by the end of the season.

* In spot market, Cotton gained  by 100 Rupees to end at 21880 Rupees.

 

Chana

 

Chana yesterday settled down by -1.7% at 5250 as the Centre has pegged chana output at 11.6 mln tn in 2020-21 (Jul-Jun) against 11.1 mln tn last year. Procurement of gram in Rajasthan will start from April 1. According to Cooperative Minister Udayalal Anjana, a target has been set to purchase 6 lakh 14 thousand 900 metric tons of gram. Gram will be purchased from farmers at the rate of Rs. 5100 per quintal. Madhya Pradesh government had postponed the procurement of crop due to bad weather. The Ministry of Agriculture Department has announced a new date for the production of gram and mustard crop in the agricultural produce mandis of Madhya Pradesh and the procurement work is scheduled to be started from 27-03-2021. This time, all the crops coming in the Kharif and Rabi season are sitting low in the form of productivity, due to which all the pulses and oilseeds crops are seeing a rapid growth. All states had almost the same amount as last year, at present, Rajasthan and Madhya Pradesh crops are coming and in Rajasthan, there are a few small ones because the crop being ready, the effect of the heat of February and March has resulted in a huge decrease in productivity in summer. In Delhi spot market, chana dropped by -85.75 Rupees to end at 5300 Rupees per 100 kgs. Technically market is under long liquidation as market has witnessed drop in open interest by -11.34% to settled at 33080 while prices down -91 rupees, now Chana is getting support at 5198 and below same could see a test of 5145 levels, and resistance is now likely to be seen at 5342, a move above could see prices testing 5433.

Trading Ideas: 

* Chana trading range for the day is 5145-5433.

* Chana prices dropped as the Centre has pegged chana output at 11.6 mln tn in 2020-21 (Jul-Jun) against 11.1 mln tn last year.

* Rajasthan: Chana to be purchased on MSP from April 1

* Gram will be purchased from farmers at the rate of Rs. 5100 per quintal.

* In Delhi spot market, chana dropped  by -85.75 Rupees to end at 5300 Rupees per 100 kgs.

 

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