Back in 1,400 range; relief for those long in gold

Karachi, June 04, 2013 (PPI-OT): Back in the 1,400 range. A relief for those long in gold. The past few days have shown an upward trend, although steady and with less volatility. The question remains if the trend can stay for long? One can’t say much with the spectrum of events. Stock indexes have a positive outlook in London, whereas quantitative stimulus is still under debate in the US. Recent economic trends don’t quite support the a reduction in bond buying by the Fed.

Forecasts for US Oil inventories shown an increase, which may lead to a drop in crude prices as a result of supply factor.

Cotton snapped the longest slide in a year on signs that demand will climb in China, the world’s biggest consumer. In the week ended May 23, U.S. export sales of upland cotton increased 16 percent from a week earlier with purchases led by China, Department of Agriculture data show. Futures fell in the previous nine sessions, touching a four-month low on May 31, amid concern that slowing U.S. expansion would trim demand.

Settlement Prices at PMEX were as follows with volumes at Rs. 3.91 billion with 16,199 lots traded:

GOLD: USD 1,399.90 /t oz
SILVER: USD 22.495 /t oz
CRUDE OIL: USD 93.01 / barrel
IRRI-6: Rs. 3,651 /100 kg
Palmolein: Rs. 4,345 / Mound
Sugar: Rs. 45.13/kg
Wheat: Rs. 3,213/100 kg
ICotton: US cents/pound 83.23

For more information, contact:
Sarang Abbasi
Asst. Manager, Risk and Analytics
Pakistan Mercantile Exchange
9th Floor, PRC Towers, 32-A,
Lalazar Drive M.T.Khan Road,
Karachi, Pakistan.
Cell: +92-03215148905
Fax: +92-35611263
UAN: +92-21-111-623-623, 99210650-61
Web: www.pmex.com.pk