Metals Weekly: A Weekly Report on Metals
- ID: 1851440
- May 2016
- Karvy Comtrade Limited
The commodities market, contrary to what many people think, has been in existence in India through the ages. However the recent attempt by the Government to permit multi-commodity national level exchanges has given it a shot in the arm. As a result two exchanges - Multi Commodity Exchange (MCX) and National Commodity and Derivatives Exchange (NCDEX) - have come into being. These exchanges, by virtue of their high profile promoters and stakeholders, bundle online trading facilities, robust surveillance measures and a hassle-free settlement system. The future contracts available on a wide spectrum of commodities like Gold, Silver, Cotton, Steel, Soya oil, Soya beans, Wheat, Sugar, Chana etc., provide excellent opportunities for hedging the risks of farmers, importers, exporters, traders and large scale consumers. They also open an avenue for quality investments in precious metals. The commodities market, as it is not affected by the movements of the stock market or debt market, provides tremendous opportunities for better diversification of risk. Realizing this fact, even mutual funds are contemplating entering into this market.
This report provides a review of the movement of base metals for the previous and coming week. It provides a brief synopsis of the impact of fundamental and economical factors on base metals prices on a weekly basis. Weekly technical calls along with technical charts are available in this report.