Rising Demand increases the price of Aluminium by 0.4%

Aluminum costs were up by 0.39% to Rs 103.20 per kg in futures trade as traders enlarged positions, driven by pick up in demand at the commodity exchange amid firm global trend.

At the Multi commodity exchange, aluminum for delivery in March month affected by 40 paise, or 0.39% to Rs 103.20 per kg in business turnover of 10 lots.

Likewise, the metal for delivery in February contracts edged up by 30 paise or 0.29% to Rs 102.40 per kg in 92 lots.

Analysts said increasing of positions by participants due to pick up in demand from consuming industries at domestic spot markets and a firm global trend mainly led to rise in aluminum prices at futures trade.

Meanwhile, aluminum gained 0.3% at the London Metal Exchange.

Bullion Market today on 10 February 2016

Gold prices on Tuesday traded at a one-and-a-half-year high in Mumbai’s spot market following a sharp recovery in international markets. However, buyers were absent within the market and costs were to be quoted at a huge discount to the cost of imports.

In Zaveri Bazar, gold price for 995 purity opened on Tuesday at Rs 28,205 for 10 gram, that is the highest after june 2014, against Monday’s closing price of Rs 27,775. On Tuesday, it closed at Rs 27,995, that is additionally highest once Jan 31, 2015. In international markets, gold touched $1,200 an ounce on Monday, which corrected to $1,188 on Tuesday.

At a level of Rs 28,000, “buyers aren't seen within the market despite price is quoted at $18-20 (per ounce) discount to cost of import,” said Ketan Shroff, director, Penta Gold. This interprets into a discount of Rs 400 for 10 gram. He added that supply of scrap gold increased in the market.

According to traders, those holding gold, which was imported earlier, are selling it at whatever value available. In January, 70 tonnes of gold was imported, compared to 100 tonnes every in November and December 2015. 

Commodity Market report

 Gold: Gold  hit 3 month  highs  on Wednesday,  buoyed  by  a  slower  U.S. services sector and sinking dollar, prompting investors to seek shelter in assets perceived as safer as future Fed rate hikes appeared less possible.
U.S.  services  sector  activity  slowed  to  a close to 2 year  low  in January,  suggesting  that  economic  growth  weakened additional  at  the begin  of  the first quarter.

Silver: Silver was up 2.3 percent at $14.62 an ounce. 

Activity within the huge U.S. services sector slowed to a close to 2 year low in January, suggesting  that  economic  growth  weakened further  at  the  start of the first quarter even as the market place remains resilient.

Crude Oil: Oil costs jumped 8 percent higher on Wednesday, snapping a 2-day rout, after investors took advantage of a weaker U.S. dollar and shrugged off information showing an sudden massive surge in U.S. crude inventories to record highs.

Natural Gas: U.S. natural gas futures listed among a few cents of unchanged on Wednesday because the market took a possibility when collapsing twelve percent over the prior two days on mostly steady weather forecasts.