Despite cold weather, Natural Gas closed low 25 Jan, 2016

Natural Gas futures closed low in the local market on Friday last week even as a massive blizzard rocked the US East Coast, bringing life to almost a standstill and raising hopes of a pickup in requirement for the heating fuel in the

About 49 per-cent of US(United States) households use natural gas for heating purposes. November to March is the peak US gas heating season.

Despite a newely drop in stockpiles, total US gas storage levels remain 17 per-cent above the five-year average for present time of year, indicating that the market is more than adequately supplied, weighing on prices.

MCX : Natural Gas futures for Jan 2016 contract ended at Rs 145.4 per mmBtu, down by 0.14 per cent, after opening at Rs 146, against the previous ending price of Rs 145.6. It attained an intra-day low of 143.10.

world’s largest economy. Cold temperatures tend to boost requirement for gas-fired heating at offices and homes.

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DAILY MCX COMMODITY REPORT 07 APRIL 2014

Precious Metals

D A I L Y B U Z Z

GOLD
Gold edged lower on Friday as the market nervously awaited US nonfarm payrolls data, heading for its longest weekly losing streak in more than six months as equities firmed and optimism grew about the US economy.

Investors in gold, often seen as a hedge against economic uncertainty, are eyeing the US jobs report - due later on Friday - to gauge the strength of the economy and any potential impact on the Federal Reserve's stimulus measures. A weak report could boost gold's appeal as a safehaven, while a strong report could prompt speculation that the Fed will lift rates earlier than previously expected.

Median forecasts are for a rise of 200,000 in payrolls. "If payrolls fall short of the 200,000 mark, that would potentially support gold prices. Though it is unlikely prices will break above $1,300," said Joyce Liu, an analyst at Phillip Futures. "But if it's a strong report, we will definitely see some downside and potentially break below $1,276."

Spot gold slipped 0.05 per cent to $1,286.39 an ounce by 0708 GMT. The metal is down 0.5 per cent for the week, on track for a third straight weekly loss. That would be its longest weekly losing stretch since August-September. Prices were trading in a tight $3.86 range - the smallest trading band since Dec. 25.

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