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Gold

Gold yesterday settled down by -2.02% at 46640 after a strong U.S. jobs report boosted expectations the Federal Reserve could begin tapering its economic support sooner than previously anticipated. The U.S. non-farm payrolls (NFP) report showed 943,000 jobs were added last month, exceeding expectations for a gain of 870,000. Fears over the central bank cutting back on its stimulus programme have been brewing in recent days after Fed Vice Chair Richard Clarida and Fed Governor Christopher Waller suggested asset purchase tapering may come sooner. The dollar and benchmark 10-year Treasury yields also rose after the data, dealing a further blow to bullion's appeal. India's physical gold market flipped into a small premium this week for the first time in a month as prices eased although activity was still subdued, while buyers in other Asian hubs also stayed on the sidelines. Dealers in India charged premiums of up to $1 an ounce over official domestic prices compared to last week's $4 discounts. India's gold imports in July more than doubled from a year earlier to a three-month high. In top consumer China, premiums of $1-$4 were charged over global benchmark spot gold prices , while $0.80-$1.80 were charged in Hong Kong, both unchanged from last week. Technically market is under fresh selling as market has witnessed gain in open interest by 7.23% to settled at 13741 while prices down -963 rupees, now Gold is getting support at 46272 and below same could see a test of 45905 levels, and resistance is now likely to be seen at 47290, a move above could see prices testing 47941.

Trading Ideas:
* Gold trading range for the day is 45905-47941.
* Gold prices slid after a strong U.S. jobs report boosted expectations the Federal Reserve could begin tapering its economic support sooner than previously anticipated.
* The U.S. non-farm payrolls (NFP) report showed 943,000 jobs were added last month, exceeding expectations for a gain of 870,000.
* The dollar and benchmark 10-year Treasury yields also rose after the data, dealing a further blow to bullion's appeal.
 

Silver 

Silver yesterday settled down by -2.98% at 65000 after a U.S. government report showed jobs grew more than expected, pushing up bond yields and adding to arguments for faster tightening of U.S. monetary policy. The report showed that nonfarm payrolls increased by 943,000 jobs in July. The news rekindled dollar momentum from midweek when Federal Reserve Vice Chair Richard Clarida suggested that conditions for hiking interest rates might be met as soon as late 2022. Fed officials have said that improving employment is critical to when they begin to pull back further on extra support the provided for the economy in the pandemic. Clarida's remarks lifted Treasury yields after five weeks of declines while "real" yields, excluding inflation, are set to snap a six-week streak of declines. Expectations for a strong set of U.S. jobs numbers had been heightened somewhat when initial claims for state unemployment benefits fell by 14,000 to 385,000 in the week ended July 31. The Commerce Department released a report showing wholesale inventories in the U.S. increased by more than expected in the month of June. The report showed wholesale inventories jumped by 1.1 percent in June after surging up by 1.3 percent in May. Inventories of durable goods shot up by 1.4 percent during the month, while inventories of non-durable goods rose by 0.6 percent. Technically market is under fresh selling as market has witnessed gain in open interest by 29.79% to settled at 12074 while prices down -1998 rupees, now Silver is getting support at 64098 and below same could see a test of 63197 levels, and resistance is now likely to be seen at 66441, a move above could see prices testing 67883.

Trading Ideas:
* Silver trading range for the day is 63197-67883.
* Silver dropped after a U.S. government report showed jobs grew more than expected
* The report showed that nonfarm payrolls increased by 943,000 jobs in July.
* Federal Reserve Vice Chair Richard Clarida suggested that conditions for hiking interest rates might be met as soon as late 2022.
 

Crude oil

Crude oil yesterday settled down by -0.51% at 5096 on concerns over the impact on fuel demand from travel restrictions to curb the spread of the Delta variant of COVID-19. Japan is poised to expand emergency restrictions to more prefectures, while China, the world’s second-largest oil consumer, has imposed curbs in some cities and cancelled flights. China has imposed new restrictions on travel in a bid to curb the spread of the Delta variant of the coronavirus. South Korea has extended its social distancing curbs by two weeks across most part of the country. U.S. crude stocks at the Cushing, Oklahoma, storage hub fell last week to the lowest since January 2020, Energy Information Administration data showed. Crude inventories at Cushing fell to 34.9 million barrels, EIA data showed. Midwest crude inventories fell to 118.3 million barrels, lowest since October 2018. U.S. crude production rose 80,000 barrels per day in May to 11.231 million bpd, according to a monthly government report. The Energy Information Administration also revised its estimate of April production by 18,000 bpd to 11.151 mln bpd. Technically market is under fresh selling as market has witnessed gain in open interest by 4.79% to settled at 6499 while prices down -26 rupees, now Crude oil is getting support at 5021 and below same could see a test of 4946 levels, and resistance is now likely to be seen at 5191, a move above could see prices testing 5286.

Trading Ideas:
* Crude oil trading range for the day is 4946-5286.
* Crude oil dropped on concerns over the impact on fuel demand from travel restrictions to curb the spread of the Delta variant of COVID-19.
* U.S. crude stockpiles rise, gasoline draws down – EIA
* U.S. crude production rose 80,000 bpd in May to 11.231 mbpd

Natural gas

Nat.Gas yesterday settled up by 0.45% at 309.9 on forecasts for hotter weather over the next two weeks than earlier expected and the storage build came in smaller-than-expected. However upside seen limited amid forecasts for slightly less hot weather over the next two week than previously expected. The U.S. Energy Information Administration (EIA) said utilities added 13 billion cubic feet (bcf) of gas into storage during the week ended July 30. Last week's injection boosted stockpiles to 2.727 trillion cubic feet (tcf), or 6.4% below the five-year average of 2.912 tcf for this time of year. Data provider Refinitiv said gas output in the U.S. Lower 48 states rose to 91.7 billion cubic feet per day (bcfd) so far in August from 91.6 bcfd in July. That was still well below the all-time high of 95.4 bcfd in November 2019. Refinitiv projected average gas demand, including exports, would rise from 90.9 bcfd this week to 94.3 bcfd next week as power generators burn more fuel to meet rising air conditioning use. U.S. pipeline exports to Mexico fell from an average of 6.5 bcfd in July to 6.0 bcfd so far in August. That compares with a record 6.7 bcfd in June. Technically market is under short covering as market has witnessed drop in open interest by -4.37% to settled at 14414 while prices up 1.4 rupees, now Natural gas is getting support at 305.7 and below same could see a test of 301.6 levels, and resistance is now likely to be seen at 312.6, a move above could see prices testing 315.4.

Trading Ideas:
* Natural gas trading range for the day is 301.6-315.4.
* Natural gas seen supported on forecasts for hotter weather over the next two weeks than earlier expected and the storage build came in smaller-than-expected.
* However upside seen limited amid forecasts for slightly less hot weather over the next two week than previously expected.
* The U.S. Energy Information Administration (EIA) said utilities added 13 billion cubic feet (bcf) of gas into storage during the week ended July 30.

Copper

Copper yesterday settled up by 0.14% at 732.5 as a union at the world's biggest copper mine, Chile's Escondida, told workers to prepare for a strike that would reduce supply of the metal. However, prices were still down in the week due to concerns that demand in top consumer China, currently grappling with a coronavirus outbreak, will weaken. More than 2,000 union members at the Escondida mine rejected a contract offer. Local law requires five days of mediation after a contract is rejected, followed by a possible five-day extension if a deal cannot be reached. China’s robust export growth likely moderated in July. China's factory activity also expanded in July at the slowest pace in 17 months. On the macro front, the seasonally-adjusted first claims of unemployment benefits in the US shrank 14000 to 385000, falling for two weeks in a row. The labour market was recovering steadily, but the spreading Delta variant would risk the repair process. Some manufacturing PMI from the euro zone fell short of expectation, weakening market forecast of cut-back on debt purchasing. Data showed that the stocks of copper in Shanghai bonded areas fell 17,500 mt from last Friday July 30 to 392,100 mt as of August 6, falling for four consecutive weeks. Technically market is under short covering as market has witnessed drop in open interest by -14.8% to settled at 4168 while prices up 1.05 rupees, now Copper is getting support at 728.4 and below same could see a test of 724.3 levels, and resistance is now likely to be seen at 738.9, a move above could see prices testing 745.3.

Trading Ideas:
* Copper trading range for the day is 724.3-745.3.
* Copper prices rose as a union at the world's biggest copper mine, Chile's Escondida, told workers to prepare for a strike that would reduce supply of the metal.
* More than 2,000 union members at the Escondida mine rejected a contract offer.
* However, prices were still down in the week due to concerns that demand in top consumer China, currently grappling with a coronavirus outbreak, will weaken.

Zinc

Zinc yesterday settled down by -0.52% at 247.05 as pressure after data showed that social inventories of zinc ingots across Shanghai, Tianjin, Guangdong, Jiangsu, Zhejiang, Shandong and Hebei increased 1300 mt from last Friday July 30 to 117300 mt, but down 4100 from Monday (August 2). Overall domestic social inventories increased slightly from last week. Among them, inventories in Shanghai climbed up due to decreased demand as the downstream was consuming released government reserves. China's robust export growth likely moderated in July amid an acceleration in COVID-19 cases globally and continuing severe pressure on global supply chains. Although there are signs China's strong industrial recovery in the first half of the year may be losing some momentum, overseas demand has remained strong in recent months even as factories in many countries return from lockdowns. On the macro front, Fed governor Waller was quite positive about the economy outlook, and he anticipated an earlier end to QE. However, Minneapolis Fed president pointed out that an increase in unemployment population from 7 million to 9 million indicated a troubled labour market. From the fundamentals, re-stocking of social inventory in China is unlikely to change the overall low inventory as a result of power restrictions. Technically market is under long liquidation as market has witnessed drop in open interest by -18.55% to settled at 1620 while prices down -1.3 rupees, now Zinc is getting support at 245.1 and below same could see a test of 243 levels, and resistance is now likely to be seen at 249.5, a move above could see prices testing 251.8.

Trading Ideas:
* Zinc trading range for the day is 243-251.8.
* Zinc prices dropped as pressure after data showed that social inventories of zinc ingots increased 1300 mt from last Friday July 30.
* Inventories in Shanghai climbed up due to decreased demand as the downstream was consuming released government reserves.
* China's robust export growth likely moderated in July amid an acceleration in COVID-19 cases globally

Nickel 

Nickel yesterday settled down by -0.75% at 1459.2 as US dollar index extended its upward momentum after the US labour report showed non-farm payrolls grew by 943K, the most in 11 months and easily beating market expectations. A stronger-than-expected number could make the case for faster US policy tightening. Tightened supply sustained, and stainless steel maintained a hectic production schedule. China's robust export growth likely moderated in July amid an acceleration in COVID-19 cases globally and continuing severe pressure on global supply chains. Although there are signs China's strong industrial recovery in the first half of the year may be losing some momentum, overseas demand has remained strong in recent months even as factories in many countries return from lockdowns. Nickel ore inventories across all Chinese ports decreased 63,000 wmt from July 30 to 5.767 million wmt as of August 6, data showed. In Ni content, the stocks stood at 45,400 mt. Data also showed that nickel ore stocks across seven major Chinese ports shrank 163,000 wmt during the same period to 3.609 million wmt. Pick up of nickel ore were frequent at ports, which led to further decrease of inventories. However, production demand of iron companies was still unfulfilled amid the peak of nickel ore delivery, and re-stocking at ports slowed down. Technically market is under long liquidation as market has witnessed drop in open interest by -6.96% to settled at 1643 while prices down -11 rupees, now Nickel is getting support at 1448.2 and below same could see a test of 1437.1 levels, and resistance is now likely to be seen at 1477.4, a move above could see prices testing 1495.5.

Trading Ideas:
* Nickel trading range for the day is 1437.1-1495.5.
* Nickel prices dropped as US dollar index extended its upward momentum after the US labour report showed non-farm payrolls grew by 943K, the most in 11 months
* Nickel ore inventories across all Chinese ports decreased 63,000 wmt from July 30 to 5.767 million wmt
* Tightened supply sustained, and stainless steel maintained a hectic production schedule.

Aluminium

Aluminium yesterday settled up by 0.02% at 205.85 as power and productions restrictions were extended to more aluminium companies in Guangxi, further tightening supply. And the market was confident about the prolonged de-stocking of aluminium ingot. Now focus will be the influences of pandemic on transportation and production in central and east China. On the macro front, the seasonally-adjusted first claims of unemployment benefits in the US shrank 14000 to 385000, falling for two weeks in a row. The labour market was recovering steadily, but the spreading Delta variant would risk the repair process. Some manufacturing PMI from the euro zone fell short of expectation, weakening market forecast of cut-back on debt purchasing. Data showed that China's social inventories of aluminium across eight consumption areas fell 26,000 mt on the week to 732,000 mt as of August 5. The decrease was mainly due to the low arrivals in Gongyi and Hainan. The arrivals in Henan was also affected by the inefficient truck transportation in the pandemic. The outbound quantity of aluminium billet decreased 7,100 mt or 13.4% to 46,100 mt last week, as downstream purchase was quiet amid the surging aluminium prices. Technically market is under short covering as market has witnessed drop in open interest by -7.25% to settled at 1970 while prices up 0.05 rupees, now Aluminium is getting support at 204.7 and below same could see a test of 203.5 levels, and resistance is now likely to be seen at 207.6, a move above could see prices testing 209.3.

Trading Ideas:
* Aluminium trading range for the day is 203.5-209.3.
* Alumimium remained supported as power and productions restrictions were extended to more aluminium companies in Guangxi, further tightening supply.
* Now focus will be the influences of pandemic on transportation and production in central and east China.
* The labour market was recovering steadily, but the spreading Delta variant would risk the repair process.
 

Mentha oil

Mentha oil yesterday settled down by -0.3% at 938.2 as average yield in Barabanki is improved by 5-6 kgs per acre due to better weather. Pressure seen arrivals likely to increase due to favourable weather conditions. Daily arrivals should gradually pick up to 400-500 drums in next 7-10 days. Last week, prices rallied. The Lucknow-based Central Institute of Medicinal and Aromatic Plants estimates that this adverse effect of rains on the crop is expected to reduce production by 30% in the last two weeks. The crop is prone to rain because the leaves of the crop start falling due to waterlogging in the field. Most of the farmers have planted Mentha crops and this rain is not less than acid for 50 percent of Mentha crop. Last month, support seen due to the rotting of the crop due to stagnant water in the field. The past few weeks have been painful as heavy rains in the pre-monsoon season have damaged the mentha crop which was ready for harvesting. Due to drowning in the water, the rows have started to wither. With the harvesting of the crop, oil extraction work has also started. In Sambhal spot market, Mentha oil gained by 15.2 Rupees to end at 1066.3 Rupees per 360 kgs.Technically market is under long liquidation as market has witnessed drop in open interest by -0.53% to settled at 1119 while prices down -2.8 rupees, now Mentha oil is getting support at 932.9 and below same could see a test of 927.5 levels, and resistance is now likely to be seen at 945.5, a move above could see prices testing 952.7.

Trading Ideas:
* Mentha oil trading range for the day is 927.5-952.7.
* In Sambhal spot market, Mentha oil gained  by 15.2 Rupees to end at 1066.3 Rupees per 360 kgs.
* Mentha oil prices dropped as average yield in Barabanki improved
* Pressure seen arrivals likely to increase due to favourable weather conditions.
* The past few weeks have been painful as heavy rains in the pre-monsoon season have damaged the mentha crop which was ready for harvesting.
 

Soyabean

Soyabean yesterday settled down by -5.25% at 8621 after update that soybean registered the highest growth in their acreage as overall Kharif sowing in Gujarat has touched 76.67 lakh hectare (lh) or 82.61 per cent of last three years’ average, latest data of the state government shows. Farmers have completed sowing soybean in 2.19 lakh hectare (lh), a growth of around 71 per cent over and above the last year’s average acreage of 1.28 lh. It is around 67 per cent higher as compared to last Kharif season’s 1.47 lh cultivation area for this oilseed. The increase in soybean sowing area comes in the backdrop of a rally in prices of all edible oils in domestic market and de-oiled cake (DOC) of soybean in international market. Overall, farmers so far have sown oilseed crops in total 22.96 lh, the highest for any group of crops in the state so far and more than one-fourth of the total area sown so far this season. U.S. exporters sold 436,200 tonnes of soybeans during the week ended July 29, in line with trade expectations, according to the U.S. Department of Agriculture. The USDA also announced a daily sale of 300,000 tonnes of soybeans for delivery to unknown destinations during the 2021/2022 marketing year. At the Indore spot market in top producer MP, soybean gained 191 Rupees to 10253 Rupees per 100 kgs.Technically market is under fresh selling as market has witnessed gain in open interest by 10.78% to settled at 17420 while prices down -478 rupees, now Soyabean is getting support at 8390 and below same could see a test of 8160 levels, and resistance is now likely to be seen at 9025, a move above could see prices testing 9430.

Trading Ideas:
* Soyabean trading range for the day is 8160-9430.
* Soyabean prices dropped after update that soybean registered the highest growth in their acreage in Gujarat.
* Farmers have completed sowing soybean in 2.19 lakh hectare (lh), above the last year’s average acreage of 1.28 lh.
* The increase in soybean sowing area comes in the backdrop of a rally in prices of all edible oils in domestic market
* At the Indore spot market in top producer MP, soybean gained  191 Rupees to 10253 Rupees per 100 kgs.
 

Soyaoil

Ref.Soyaoil yesterday settled down by -1.63% at 1367.7 on profit booking booking tracking weakness in soyabean prices after prices seen supported by lingering concerns over tight supply. However upside seen limited as about 164.43 lakh ha area coverage has been reported compared to normal of corresponding week (159.16 lakh ha). Thus 5.28 lakh ha more area has covered compared to normal of corresponding week. China raised its forecast on imports of edible oils in 2020/21 marketing year, on increase of palm oil and sunflower oil shipments, the country's agriculture ministry said. China's 2020/21 edible oils imports were seen at 10.23 million tonnes, up 900,000 tonnes from last month's forecast, the Ministry of Agriculture and Rural Affairs said in its monthly crop report. Estimates on output, planting acreage and imports of corn, soybeans and cotton in the 2021/22 year remain unchanged from a month ago, according to the ministry. China's soybean acreage in 2021/22 year was seen at 9.347 million hectares, down 5.4% from 9.882 million hectares in the previous year, according to the report. India has slashed the base import price of palm oil and soyoil, the government said in a statement, as prices fell in the overseas market. India exported 5.31 lakh tonnes of oilmeals in the first two months of the fiscal 2021-22 against 3.50 lakh tonnes in the same period a year ago, recording a growth of 52 per cent. At the Indore spot market in Madhya Pradesh, soyoil was steady at 1409.1 Rupees per 10 kgs.Technically market is under fresh selling as market has witnessed gain in open interest by 10.63% to settled at 22995 while prices down -22.6 rupees, now Ref.Soya oil is getting support at 1357 and below same could see a test of 1347 levels, and resistance is now likely to be seen at 1382, a move above could see prices testing 1397.

Trading Ideas:
* Ref.Soya oil trading range for the day is 1347-1397.
* Ref soyoil dropped on profit booking booking tracking weakness in soyabean prices
* However downside seen limited amid lingering concerns over tight supply.
* China's 2020/21 edible oils imports were seen at 10.23 million tonnes, up 900,000 tonnes from last month's forecast
* At the Indore spot market in Madhya Pradesh, soyoil was steady at 1409.1 Rupees per 10 kgs.
 

Crude palm Oil

Crude palm Oil yesterday settled down by -0.32% at 1136 as Malaysia's palm oil stockpile at the end of July likely expanded to its highest in 10 months, even as production is seen shrinking by 4%. Inventories in the world's second-largest palm oil producer are seen rising for a fifth month, up 1.6% to 1.64 million tonnes from June. Production is pegged to fall for the first time in five months, defying hopes for stronger output amid the peak production months. The government has set the ambitious target for more than three-fold increase in domestic palm oil production, from the current 3 lakh tonnes to 11 lakh tonnes by 2025-26, to reduce India's high dependence on import of edible oil. To accelerate production and cultivation of oil palm in the country, the government will now put special focus on the North East and Andaman and Nicobar Islands. The mission to push domestic palm oil production gains significance considering India imported nearly 133.5 lakh tonnes of edible oil in 2020-21 worth Rs 80, 000 crore to meet the domestic requirement and the share of imported palm oil was around 56% followed by soyabean (27%) and sunflower oil (16%). In spot market, Crude palm oil gained by 0.8 Rupees to end at 1178.7 Rupees.Technically market is under fresh selling as market has witnessed gain in open interest by 0.5% to settled at 5809 while prices down -3.7 rupees, now CPO is getting support at 1130.6 and below same could see a test of 1125.3 levels, and resistance is now likely to be seen at 1141.6, a move above could see prices testing 1147.3.

Trading Ideas:
* CPO trading range for the day is 1125.3-1147.3.
* Crude palm oil prices dropped as Malaysia's palm oil stockpile at the end of July likely expanded to its highest in 10 months
* Inventories are seen rising for a fifth month, up 1.6% to 1.64 million tonnes from June.
* To cut ballooning import bill, govt targets 3- fold increase in domestic palm oil output
* In spot market, Crude palm oil gained  by 0.8 Rupees to end at 1178.7 Rupees.

Mustard Seed

Mustard Seed yesterday settled down by -0.96% at 7818 as mustard arrivals in its major producing states i.e. Rajasthan, Madhya Pradesh, Uttar Pradesh and Gujarat improved. However upside seen limited as production in Canada in 2021 expected to drop by 1.7 million tons to 16.9 million tons. As per sources, estimated mustard crushing during June 2021 stood at 6 lakh tonnes, lower by 33% compared to 9 lakh tonnes last month it is also lower by 25% against 8 lakh tonnes in June 2020. Further negative crush margin for mustard seed also discouraged crushing activity and further reduced buying interest for mustard seed. India’s Rapeseed meal exports fell by 46% to 0.97 lakh tonnes on M-o-M basis during May-2021. However mustard meal exports were higher by 66% as compared to same period last year. In 2022-22 marketing year (Mar-Feb), total arrivals reported were up by 309% as compared to the arrivals during the corresponding period last year. As per USDA in its June-21 update, World Mustard seed production for 2021-22 is estimated to increase by 4% at 741 lakh tonnes. The beginning stock estimated to fall by 25% to 57 lakh tonnes. Total consumption estimated to remain same around last year and ending stocks are also estimated to be lower by 1% at 57 lakh tonnes. In Alwar spot market in Rajasthan the prices gained 80.75 Rupees to end at 7946.5 Rupees per 100 kg.Technically market is under fresh selling as market has witnessed gain in open interest by 0.67% to settled at 29970 while prices down -76 rupees, now Rmseed is getting support at 7739 and below same could see a test of 7659 levels, and resistance is now likely to be seen at 7912, a move above could see prices testing 8005.

Trading Ideas:
* Rmseed trading range for the day is 7659-8005.
* Mustard seed dropped as arrivals in its major producing states i.e. Rajasthan, Madhya Pradesh, Uttar Pradesh and Gujarat improved.
* However upside seen limited as production in Canada in 2021 expected to drop by 1.7 million tons to 16.9 million tons.
* In 2022-22 marketing year (Mar-Feb), total arrivals reported were up by 309% as compared to the arrivals during the corresponding period last year.
* In Alwar spot market in Rajasthan the prices gained 80.75 Rupees to end at 7946.5 Rupees per 100 kg.

Turmeric

Turmeric yesterday settled down by -2.08% at 7616 amid comfortable supplies of Turmeric with pick-up in mandi arrivals along with sufficient availability of stocks with traders. Further there is expectation of increase in Turmeric sowings in some areas were the key factors that dented market sentiments in the month of June. As the lockdown restrictions were eased in the month of June, the key Turmeric growing states, including Maharashtra and Telangana reported noticeable increase in mandi arrivals, which augmented physical market supplies and pressurized prices. Mandi arrivals of Turmeric, at all-India level, more than doubled in June 2021 compared to the previous month supported by substantial increase in arrivals in Maharashtra and Telangana. Mandi arrivals had remained sluggish in April and May due to closure of mandis in many regions on account of festival season and Covid related lockdown restrictions. The demand remained subdued from bulk buyers from major consumption centres in the country. According to the statistics of the Department of Commerce, Government of India, the highest number of 1.84 lakh tonnes of turmeric was exported during the last financial year 2020-21. The export of turmeric is highest in the months of May, June and July. After the relaxation of the lockdown in some states, spot prices have started increasing in Erode and Nanded mandis last week. In Nizamabad, a major spot market in AP, the price ended at 7428.4 Rupees gained 43.15 Rupees.Technically market is under fresh selling as market has witnessed gain in open interest by 14.42% to settled at 7815 while prices down -162 rupees, now Turmeric is getting support at 7496 and below same could see a test of 7374 levels, and resistance is now likely to be seen at 7824, a move above could see prices testing 8030.

Trading Ideas:
* Turmeric trading range for the day is 7374-8030.
* Turmeric dropped amid comfortable supplies of Turmeric with pick-up in mandi arrivals along with sufficient availability of stocks with traders.
* Further there is expectation of increase in Turmeric sowings in some areas were the key factors that dented market sentiments
* The demand remained subdued from bulk buyers from major consumption centres in the country.
* In Nizamabad, a major spot market in AP, the price ended at 7428.4 Rupees gained 43.15 Rupees.

Jeera

Jeera yesterday settled down by -0.55% at 13645 due to higher availability with farmers and general demand from stockists. Pressure also seen due to the uncertainty of the lockdown over a possible third wave of Covid and low demand from the hotel industry. Mandi arrivals of Jeera, at all-India level more than doubled in June 2021 compared to the previous month following increased arrivals in Gujarat as well as Rajasthan. As per preliminary estimates suggested that carryover stocks of Jeera are likely to be around of about 20-25 Lakh bags (of 55 Kg each), i.e., 1.10 to 1.30 lakh tonnes which are higher than usual range of 7-12 Lakh bags. However, after accounting for wastage, and increased exports, market participants are expecting carryover stocks to be around 0.65-0.70 lakh tonnes. It may be noted that during the FY 2020-21 Jeera exports stood at 2.98 lakh tonnes, 39% higher over the previous year. As per sources, export demand for Jeera is expected to recover as close competitors of India in terms of exporting Jeera, viz., Turkey and Syria may not supply much to the world due to lower exportable surplus. It has been reported that production in Syria is likely to be lower because of political instability and in Turkey is also likely to be lower compared to previous year. In Unjha, a key spot market in Gujarat, jeera edged up by 15.8 Rupees to end at 13689.5 Rupees per 100 kg.Technically market is under fresh selling as market has witnessed gain in open interest by 9.45% to settled at 3579 while prices down -75 rupees, now Jeera is getting support at 13575 and below same could see a test of 13500 levels, and resistance is now likely to be seen at 13770, a move above could see prices testing 13890.

Trading Ideas:
* Jeera trading range for the day is 13500-13890.
* Jeera dropped due to higher availability with farmers and general demand from stockists.
* Pressure also seen due to the uncertainty of the lockdown over a possible third wave of Covid and low demand from the hotel industry.
* As per preliminary estimates suggested that carryover stocks of Jeera are likely to be around of about 20-25 Lakh bags
* In Unjha, a key spot market in Gujarat, jeera edged up by 15.8 Rupees to end at 13689.5 Rupees per 100 kg.
 

Cotton

Cotton yesterday settled up by 0.82% at 27030 tracking rise in ICE cotton amid concerns grew that harvest of the natural fiber crop could be delayed as forecasts pointed to inadequate rains in key regions. The U.S. Department of Agriculture's weekly export sales report showed net sales of 149,300 running bales (RB) for the 2021/2022 marketing year and exports of 229,500 RB, down 4% from the previous week and 5% from the prior 4-week average. Cotton sowing across the country has picked up with the revival of monsoon in several states, after seeing a lull in the month of July due to a dry spell. Sowing in the north is almost complete with Punjab reporting a slight dip. The sowing has been normal in Haryana while Rajasthan and Gujarat had reported dry spells. There has been a dip in Maharashtra since farmers shifted to other crops like soybean and groundnut, but some pick up is likely in Andhra Pradesh and Tamil Nadu. The lower acreage is largely attributed to delayed rains. But with kapas prices ruling at Rs 8000 per quintal, sowing is expected to continue till August-end across various states including Andhra, Telangana, Gujarat, Karnataka and Tamil Nadu. According to industry body Cotton Association of India (CAI), sowing has been completed on 112 lh as compared to 118 lh in the same period last year. In spot market, Cotton dropped by -30 Rupees to end at 27200 Rupees.Technically market is under short covering as market has witnessed drop in open interest by -3.98% to settled at 5065 while prices up 220 rupees, now Cotton is getting support at 26810 and below same could see a test of 26600 levels, and resistance is now likely to be seen at 27190, a move above could see prices testing 27360.

Trading Ideas:
* Cotton trading range for the day is 26600-27360.
* Cotton gained tracking rise in ICE cotton amid concerns grew that harvest of the natural fiber crop could be delayed
* USDA’s weekly export sales report showed net sales of 149,300 running bales (RB) for the 2021/2022 marketing year.
* Cotton sowing across the country has picked up with the revival of monsoon in several states
* In spot market, Cotton dropped  by -30 Rupees to end at 27200 Rupees.

Chana

Chana yesterday settled down by -1.44% at 5010 as the production of pulses has been increasing during the last three years (2018-19 to 2020-21) and the target for 2021-2022 has been set at 23 LMT (lakh million tonnes) from the 19.5 LMT for 2020-2021, the Parliament was informed. Data from the government showed that all India production of pulses during 2016-17 to 2020-21 -- all numbers in '000 tonnes -- was 23,130.94 for 2016-17, 25,415.92 for 2017-18, 22,075.96 for 2018-19, 23,025.25 for 2019-20, and for 2020-21, it is projected at 25,575.69, as per the 3rd advance estimates. India is likely to receive an average amount of rainfall in August and September, the state-run weather office said, raising expectations of higher crop yields in Asia's third-biggest economy, which relies heavily on the vast farm sector. "As per most parameters, we expect monsoon rains to be normal in August and September this year," Mrutyunjay Mohapatra, Director General of the state-run India Meteorological Department (IMD), told a news conference. All over Pulses crop area seen at about 108.87 lakh ha compared to normal of corresponding week (110.68 lakh ha). Thus 2.81 lakh ha less area has been covered compared to normal of corresponding week. In Delhi spot market, chana dropped by -50 Rupees to end at 4850 Rupees per 100 kgs.Technically market is under fresh selling as market has witnessed gain in open interest by 4.16% to settled at 77800 while prices down -73 rupees, now Chana is getting support at 4976 and below same could see a test of 4943 levels, and resistance is now likely to be seen at 5066, a move above could see prices testing 5123.

Trading Ideas:
* Chana trading range for the day is 4943-5123.
* Chana prices seen under pressure as the production of pulses has been increasing during the last three years
* The target for 2021-2022 has been set at 23 LMT (lakh million tonnes) from the 19.5 LMT for 2020-2021, the Parliament was informed.
* India is likely to receive an average amount of rainfall in August and September, the state-run weather office said
* In Delhi spot market, chana dropped  by -50 Rupees to end at 4850 Rupees per 100 kgs.

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