Commodity Daily – A World of Possibilities Market update 04 Nov 09

Dear Members,

04/11/2009 17:30
** P D HIGH = Previous Day High, P D LOW = Previous Day Low, P CLOSE = Previous Day Close
IF "COMMODITY" & "+ / -" BOTH COLOMN ARE IN "RED" = BEARISH & IF "GREEN" = BULLISH
** SELL Signal = If price close below PIVOT POINT or Previous Day Low ** BUY Signal = If price close above PIVOT POINT or Previous Day High
S = Support , R = Resistance
COMEX
COMMODITY	P D HIGH	P D LOW	CURRENT	S4	S3	S2	S1	PIOVT	R1	R2	R3	R4	+ / –
GOLD FEB 10	1089.70	1057.00	1093.50	981.98	1014.68	1047.38	1070.45	1080.08	1103.15	1112.78	1145.48	1178.18	30.90
SILVER MAR 10	17.36	16.28	17.38	13.78	14.86	15.94	16.69	17.02	17.77	18.10	19.18	20.26	0.74
CRUDE DEC 09	79.77	76.55	80.23	69.19	72.41	75.63	77.93	78.85	81.15	82.07	85.29	88.51	1.47
LME
COPPER 3 M	6571.00	6372.25	6460.00	5879.06	6077.81	6276.56	6379.63	6475.31	6578.38	6674.06	6872.81	7071.56	-95.00
NICKEL 3 M	18200.00	17661.00	17800.00	16310.75	16849.75	17388.75	17655.50	17927.75	18194.50	18466.75	19005.75	19544.75	-260.00
TIN 3 M	14800.00	14550.00	14790.00	13966.25	14216.25	14466.25	14632.50	14716.25	14882.50	14966.25	15216.25	15466.25	15.00
CURRENCIES
USDINR	47.4300	46.9300	47.0575	45.7950	46.2950	46.7950	47.1600	47.2950	47.6600	47.7950	48.2950	48.7950	0.2100
USDSGD	1.4040	1.3962	1.3974	1.3772	1.3851	1.3929	1.3976	1.4008	1.4054	1.4086	1.4165	1.4243	0.0020
EURUSD	1.4811	1.4626	1.4758	1.4148	1.4333	1.4518	1.4594	1.4702	1.4779	1.4887	1.5072	1.5257	-0.0077
GBPUSD	1.6422	1.6262	1.6517	1.5892	1.6051	1.6211	1.6319	1.6370	1.6479	1.6530	1.6689	1.6849	0.0035
SGDINR	33.8428	33.6255	33.6804	33.1321	33.3493	33.5666	33.7248	33.7838	33.9421	34.0010	34.2183	34.4355	0.1064
ASIAN & AMERICAN MARKETS
BSE	15957.06	15330.56	15870.32	13682.63	14309.13	14935.63	15167.19	15562.13	15793.69	16188.63	16815.13	17441.63	#VALUE!
NSE	4729.85	4538.50	4697.90	4025.84	4217.19	4408.54	4469.93	4599.89	4661.28	4791.24	4982.59	5173.94	#VALUE!
STRAITS TIMES	2657.57	2621.55	2648.64	2525.44	2561.46	2597.48	2609.42	2633.50	2645.44	2669.52	2705.54	2741.56	-23.88
HANG SENG	21684.73	21223.42	21614.77	20002.25	20463.56	20924.87	21087.63	21386.18	21548.94	21847.49	22308.80	22770.11	-380.13
DOW	9787.47	9703.89	9771.91	9511.95	9595.53	9679.11	9737.90	9762.69	9821.48	9846.27	9929.85	10013.43	-17.53
NASDAQ	2057.32	2031.25	2057.32	1966.79	1992.86	2018.93	2032.67	2045.00	2058.74	2071.07	2097.14	2123.21	8.12

China May Boost Unrefined Copper Imports on Tax

Dear Members,

China May Boost Unrefined Copper Imports on Tax, Analysts Say

2009-11-04 08:01:55.526 GMT

By Bloomberg News

Nov. 4 (Bloomberg) — Smelters in China, the world’s largest copper consumer, may boost imports of the unrefined metal after the government cut a tax on inbound shipments, reducing its cost, two analysts said.

China canceled a 17 percent value-added tax on the gold content of the crude copper imports starting Nov. 1, the Ministry of Finance said in a statement on Oct. 20. The new policy may help smelters save about 1,000 yuan per ($147) ton of refined copper, assuming there are 50 grams of gold content per ton of unrefined copper, Zhu Yanzhong, analyst at Jinrui Futures Co., said.

Copper, used in pipes and power cables, has more than doubled in London this year as China’s 4 trillion yuan ($586

billion) stimulus spending and as state stockpiling boosted imports to a record, and the world recovered from its worst recession since World War II, increasing demand for raw materials.

“It should be enough incentive for the smelters to boost imports of unrefined copper,” Zhu said by phone from Shenzhen today. Jinrui is a unit of Jiangxi Copper Co., China’s biggest producer of the metal.

China may increase imports of unrefined metal from places such as Africa and Kazakhstan, he said.

“If you consider profitability it is now cheaper to bring in unrefined copper,” Li Junchao, an analyst at Western Mining Co.’s futures department, said from Shanghai today.

Copper for delivery in three months on the London Metal Exchange gained 1.8 percent to $6,575 a ton by 3:09 p.m. in Shanghai.

I.M.F. Sells Gold to India

Dear Members,

I.M.F. Sells Gold to India

2009-11-04 07:24:06.183 GMT

By REUTERS

Nov. 4 (International Herald Tribune) — MUMBAI — The International Monetary Fund has sold 200 tons of gold to the Reserve Bank of India for $6.7 billion, quietly executing half of a long-planned bullion sale that could slow the rising price of gold.

The sale, which surprised traders who expected China to be the leading buyer, will relieve gold investors of some uncertainty over how and when the I.M.F. would sell 403.3 tons of gold — about one-eighth of its total stock.

It also fueled speculation that other governments — including Beijing — might be ready to diversify their reserves, even at near-record gold prices, helping to soak up I.M.F. supply that the fund might otherwise be forced to sell on the open market.

“Central banks in India and China will be happy to accumulate gold at these levels,” said Aaron Smith, the Asia head of the $1.65 billion technical trading fund Superfund. “I will not be surprised to see even some Southeast Asian banks buying gold.”

Spot gold prices rose about $4, to $1,063 an ounce, Tuesday, just shy of the $1,070.40 record set last month, aided primarily by a falling U.S. dollar. Traders said the I.M.F. news could add to the market’s upward momentum.

Although the I.M.F.’s plan to sell a share of its gold holdings to increase low-cost lending to poor countries had been flagged for a year before it was formally approved in September, both the speed of the deal and the buyer were a surprise.

India is the biggest consumer of gold, primarily in the form of jewelry and investment, but its central bank had given few indications of being a front-runner in the move to diversify into bullion.

The proportion of gold as part of its total foreign reserves had fallen in past decades, officials said.

India’s foreign exchange reserves held at the central bank totaled $285.5 billion on Oct. 23, of which gold made up somewhat more than $10 billion. The latest purchase will lift its share of gold holdings to about 6 percent from near 4 percent — less than most of the developed world but four times China’s share.

Bimal Jalan, a former governor of the Reserve Bank of India, said the move was aimed at increasing resources for the I.M.F., as India and China had promised to help raise “fungible resources” to help other developing countries.

“This transaction is an important step toward achieving the objectives of the I.M.F.’s limited gold sales program, which are to help put the fund’s finances on a sound long-term footing and enable us to step up much-needed concessional lending to the poorest countries,” the I.M.F.’s managing director, Dominique Strauss-Kahn, said in a statement.

A senior I.M.F. official, speaking on condition of anonymity because of the sensitivity of the matter, would not say whether other central banks had expressed interest in buying the remaining gold for sale. He said the I.M.F. would proceed as planned to sell the gold in the market if no other central banks came forward, but he reiterated that the fund would publicize its intentions before doing so to avoid disrupting the market.

Still, the threat of further open-market sales remained a source of concern for gold traders, who were mindful of the five-year pact among European central banks to sell down a maximum 400 tons a year of their holdings, an agreement that was renewed in August and included the I.M.F. volume.

The market’s focus has now shifted to China as Beijing seeks to shift some of its more than $2 trillion in foreign exchange reserves away from the U.S. dollar.

A representative from the Chinese central bank was not immediately available for comment.

It is the first time since 2000 that the I.M.F. has sold gold to a central bank.

Asia-Pacific Stock Rating Changes, New coverage – Nov 3 2009

Dear Members,

Please find attached Analyst rating update for your reference.

You can also find copy of file to this link – https://docs.google.com/leaf?id=0BzUqHwV1GxVTODRkNzcxNGEtOTI1Zi00ZWI5LWE2ZGItNjg0NTUwOWVmYzgy&hl=en
Asia-Pacific Stock Rating Changes, New coverage – Nov 3 2009.pdf

Gold Monthly – Fortnight – Weekly Pivots Nov 2009