Gold climbed to a two-week high and settled 1.02% higher on Monday - HDFC Securities
GLOBAL MARKET ROUND UP
* Gold climbed to a two-week high and settled 1.02% higher on Monday. Sentiment improved as China’s central bank added bullion to its reserves for the first time in seven months, and concerns about the Middle East bolstered haven demand. The People’s Bank of China on Saturday said it bought 160,000 fine troy ounces in November, ending a six-month pause in purchases.
* The resumption of buying shows the PBOC is still keen to diversify its reserves and guard against currency depreciation, even with bullion near record-high levels. Traders were also monitoring developments in Syria after President Bashar al-Assad fled as rebel troops captured the capital, Damascus.
* Crude oil was steady in Asian trading hours on Tuesday after gaining 1.74% yesterday as investors weighed the prospect for bolder Chinese stimulus next year while the market monitored the fallout from the collapse of the Syrian regime.
* Natural gas surged more than 3.0% in the previous session, helped by a shift in shortterm forecasts to cooler weather that would lead to increased gas demand for heating.
* Expectations of a major announcement from China, which will enhance the outlook for overall demand, boosted sentiment, leading copper and zinc to gain more than 1.0% on Monday. China's Politburo said China will implement a more proactive fiscal policy and moderately loose monetary policy next year. China will also vigorously boost consumption and expand domestic demand on all fronts.
* On the macro front, China exports climbed in November as companies rushed to get goods to the US before new tariffs. Imports unexpectedly fell in a sign of weak domestic demand.
Gold
Trading Range: 77300 to 78450
Intraday Trading Strategy: Buy Gold Mini Jan Fut at 77000-77025 SL 76780 Target 77480/77600
Silver
Trading Range: 93900 to 96380
Intraday Trading : Buy Silver Mini Feb Fut at 95000-95025 SL 94305 Target 96380
Crude Oil
Trading Range: 5680 to 5900
Intraday Trading Strategy : Buy Crude Oil Dec Fut at 5750 SL 5680 Target 5880
Natural Gas
Trading Range: 256 to 384
Intraday Trading Strategy: Buy Natural Gas Sep Fut at 265-266 SL 259.0 Target 275
Copper
Trading Range: 819 to 839
Intraday Trading Strategy: Buy Copper Dec Fut above 834 SL 829.80 Target 839
Zinc
Trading Range: 287-294
Intraday Trading Strategy: Buy Zinc Dec Fut at 289.80 SL 287.0 Target 294
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