Natural gas futures dropped for the seventh time in eight days settled -0.05% down at 189.5 on speculation that rising production will bring inventories to a record by the fall. Gas slipped as much as 2.2% after stockpiles expected to climb to 3.9 trillion cubic feet by the end of October, surpassing the previous pre-winter record of 3.84 trillion.
Gas futures also dropped in sympathy with crude oil, which fell as much as 5.4% after an Energy Department report showed that U.S. crude supplies rose to the highest level in two years. U.S. natural-gas stockpiles probably rose less than the seasonal average last week as nuclear power-plant shutdowns increased demand for gas as a replacement fuel.
Inventories rose 71 bcf to 1.828 trillion in the week ended May 6. The 5-year average stockpile change for the week is an increase of 90 billion, according to Energy Department data. Supplies climbed 93bcf a year earlier. For today's session market is looking to take support at 186.2, a break below could see a test of 183 and where as resistance is now likely to be seen at 192.7, a move above could see prices testing 196.
Trading Ideas:
Natural Gas trading range is 183-196.
Natural gas dropped on speculation that rising production will bring inventories to a record by the fall.
Natural gas looks to test support at 186.20 and resistance is seen at 192.70.
Today natural gas storage: EXP: 69B PREV: 72B
Aluminium yesterday traded with the negative node and settled -2.11% down at 115.85 after China’s consumer price index (CPI) in April rose by 5.3% on a yearly basis, a signal of severe inflation, and triggering investor concerns over China’s economic growth. The European debt crisis escalated due to Greece debt crisis, and the euro weakened in response, with upward momentum expected to be limited in the short term. The rising demand for risk-averse boosted the US dollar index to above 75.
LME aluminum prices opened higher but moved lower. Stronger US dollar and lower crude oil prices depressed market confidence in European trading hours, and LME aluminum prices accelerated declines following other base metals prices, with prices finally closing at USD 2,591.3/mt, down USD 61.8/mt or 2.33%. For today's session market is looking to take support at 114.8, a break below could see a test of 113.7 and where as resistance is now likely to be seen at 117.9, a move above could see prices testing 120.
Trading Ideas:
Aluminium trading range is 113.7-120.
Aluminium ended weak as stronger US dollar and lower crude oil prices depressed market confidence
Aluminium is taking resistance at 117.90 and support is seen at 114.80.
Aluminium daily stocks at Shanghai exchange came up by 2010 tonnes.
No comments:
Post a Comment