Commodities Evening Update

Monday | June 3, 2013

International Commodities

Content
Days overview Market Highlights Outlook Important Events for Today

Research Team
Vedika Narvekar - Sr. Research Analyst vedika.narvekar@angelbroking.com (022) 2921 2000 Extn :6130 Anish Vyas - Research Analyst anish.vyas@angelbroking.com (022) 2921 2000 Extn :6104

Angel Commodities Broking Pvt. Ltd. Registered Office: G-1, Ackruti Trade Centre, Rd. No. 7, MIDC, Andheri (E), Mumbai - 400 093. Corporate Office: 6th Floor, Ackruti Star, MIDC, Andheri (E), Mumbai - 400 093. Tel: (022) 2921 2000 MCX Member ID: 12685 / FMC Regn No: MCX / TCM / CORP / 0037 NCDEX : Member ID 00220 / FMC Regn No: NCDEX / TCM / CORP / 0302

Disclaimer: The information and opinions contained in the document have been compiled from sources believed to be reliable. The company does not warrant its accuracy, completeness and correctness. The document is not, and should not be construed as an offer to sell or solicitation to buy any commodities. This document may not be reproduced, distributed or published, in whole or in part, by any recipient hereof for any purpose without prior permission from Angel Commodities Broking (P) Ltd. Your feedback is appreciated on commodities@angelbroking.com

Commodities Evening Update

Monday | June 3, 2013

International Commodities
News and Analysis Indias HSBC Manufacturing PMI declined to 50.1-mark in May. Spanish Manufacturing PMI rose to 48.1-mark in last month. UKs Manufacturing PMI increased to 51.3-mark in prior month. European equities are trading lower today on the back of expectations that US Federal Reserve will cut its bond buying program. Asian markets ended on a negative note and US stock futures are trading in the green. Indias HSBC Markit Manufacturing Purchasing Managers Index (PMI) declined by 0.9 points to 50.1-mark in May which is at the 50-month low from earlier rise of 51-level in April. Spanish Manufacturing Purchasing Managers' Index (PMI) increased by 3.4 points to 48.1-mark in May as against a rise of 44.7-level in April. Italian Manufacturing PMI rose by 1.8 points to 47.3-level in last month from earlier gain of 45.5-mark in April. European Final Manufacturing PMI gained by 0.5 points to 48.3-mark in May with respect to rise of 47.8-level a month ago. UKs Manufacturing Purchasing Managers' Index (PMI) increased by 1.1 points to 51.3-mark in May as against a rise of 50.2-level in April. Spot gold prices are trading higher by 0.58 percent today on the back of rise in risk aversion in global markets which led to increase in safe haven demand. Further, weakness in the US Dollar Index (DX) also supported an upside in the yellow metal prices. On the MCX, prices gained by 0.47 percent and hovered around Rs.26,938/10 gm till 4:30pm IST. Depreciation in the Indian Rupee also acted as a positive factor for the prices. Taking cues from rise in gold prices coupled with upside in the base metals complex, Spot silver prices gained by 0.9 percent today. Weakness in the DX supported an upside in the white metal prices. In the Indian markets, depreciation in the Rupee acted as a positive factor and gained by 0.85 percent today. The base metals group traded on a positive note today on account of favorable economic data from Euro Zone coupled with weakness in the DX. However, sharp upside in the prices was capped on account of weak global markets along with mixed scenario in LME inventories. On the domestic front, depreciation in the Indian Rupee supported an upside in the prices. Nymex crude oil prices increased around 0.37 percent today taking cues from weakness in the DX. However, sharp upside in the prices was capped on account of production kept unchanged at 30 million barrels a day by Organization of Petroleum Exporting Countries (OPEC). Further, slow economic growth in China also prevented sharp upside in the prices. On the domestic bourses, crude prices traded on a positive note on account of depreciation in the Indian Rupee. Performance during the day
Index Nifty Sensex Nikkei Kospi FTSE Open High

as at 4.30 pm 3 June 13
Low Last % Chg from Prev day

5997.35 19859.22 13551.36 1993.11 17097.41

6011.00 19860.19 13562.87 2000.56 17159.70

5916.35 19541.97 13261.82 1989.51 17018.83

5939.30 19610.48 13261.82 1989.57 17018.83

-0.78 -0.76 -3.72 -0.57 -0.35

Source: Reuters

as at 4.30 pm 3 June 13
Currency Dollar Index Euro/$ Spot INR/$ Spot Open High Low Current % Chg from Prev day

83.36 1.2982 56.50

83.39 1.3043 56.76

83.025 1.2981 56.415

83.17 1.3011 56.71

-0.28 0.12 0.25

Source: Reuters

as at 4.30 pm 3 June 13
Commodity Spot Gold Comex Gold Aug13 MCX Gold Aug13 Spot Silver Comex Silver July13 MCX Silver July13 Crude Oil Nymex July 13 ICE -Brent Crude Oil MCX Crude Oil June 13 Copper LME - 3 Month MCX Copper June13 Zinc LME - 3 Month Zinc MCX - June13 Lead LME - 3 Month Lead MCX June13 Nickel LME - 3 Month Nickel MCX June13 Aluminum LME - 3 Month Aluminum MCX June13 Unit Open High Low Last % Chg from Prev day

$/oz $/oz Rs/10 gms $/oz $/oz

1389.16 1389.10 26895.00 22.26 28.23 43636 91.73 100.15 5227 7285.00 412.00 1925.00 107.85 2193 124.65 14823 839.30 1903.25 106.65

1401.40 1400.90 27015.0 22.52 0.22415 44061 92.37 101.04 5250 7397.75 419.70 1949.00 109.80 2222 126.30 15600 871.70 1938.00 109.00

1388.44 1388.30 26780.0 22.23 0.22305 43616 91.26 99.66 5190 7285.00 412.00 1917.00 107.50 2193 124.60 14820 839.30 1903.00 106.70

1394.39 1393.80 26938.00 22.41 0.22335 43875 92.31 100.89 5246 7373.00 418.65 1947.00 109.75 2215 125.95 15179 863.20 1926.50 108.50

0.58 0.09 0.47 0.90 0.48 0.85 0.37 0.50 0.36 1.33 1.65 1.29 2.00 0.72 1.41 2.36 2.98 1.23 1.69

Rs/kg $/bbl

$/bbl Rs/bbl $/tonne Rs/kg $/tonne Rs/kg $/tonne

Rs/kg $/tonne Rs/kg $/tonne Rs/kg

Source: Reuters

Commodities Evening Update

Monday | June 3, 2013

International Commodities
Outlook In the evening session, we expect precious metals, base metals and crude oil prices to trade on a positive note today on the back of weakness in the DX coupled with favorable economic data from Euro Zone. However, sharp upside in the prices will be capped on account of expectations of cut in the bond buying program from US Federal Reserve. US ISM manufacturing PMI data is forecasted to come on a negative note which can prevent sharp rise in the prices or even reversal can be seen.

Technical Outook for evening session 3 June 13 ( CMP as of 5.00 pm)

Commodity Gold Aug'13 Spot Gold Silver July13 Spot Silver Brent Crude June13 Crude Oil June13 Nymex Crude Oil July13 Natural Gas June13 LME Copper Copper June13 Zinc June13 Lead June13 Aluminum June13 Nickel June13 Unit Rs/10 gm $/oz Rs /kg $/oz $/bbl Rs /bbl $/bbl Rs /mmBtu $/tonne Rs /kg Rs /kg Rs /kg Rs /kg Rs /kg Support 2 26692 1361 43265 21.62 5633 5126 90.15 223 7230 410.4 107.2 123 106.3 832 Support 1 26874 1375 43476 21.91 5672 5169 90.9 224.2 7290 412 108.2 124.4 107.15 848 CMP 27134 1395 43980 22.47 5743 5254 92.37 226.9 7372 419.25 109.55 125.7 108.3 863.2 Resistance1 27225 1402 44227 22.66 5754 5262 92.5 228.5 7400 420.45 110.2 126.6 108.95 871 Resistance 2 27355 1412 44539 22.9 5797 5294 93.1 230 7450 422.45 111.25 127.2 109.35 876

Important Events for Today

Indicator Capital Spending q/y HSBC Final Manufacturing PMI FOMC Member Yellen Speaks Spanish Manufacturing PMI Italian Manufacturing PMI Manufacturing PMI ISM Manufacturing PMI Country Japan China US Europe Europe UK US Time (IST) 5:20am 7:15am 7:20am 12:45pm 1:15pm 2:00pm 7:30pm Actual -3.9% 49.2 48.1 47.3 51.3 Forecast -5.5% 49.6 45.5 46.2 50.3 50.6 Previous -8.7% 49.6 44.7 45.5 49.8 50.7 Impact Medium Medium Medium Medium Medium High High