The IMD reported rainfall deficiency, Indian gold demand rose by 14%, US Crude oil inventory drop

20th Jul - 26th Jul

1. Indian gold demand rose by 14%, but may drop in next 2 quarter

July 26, 2019

India’s gold demand rose by 14% on YOY basis in April-June 2019 quarter, but it is expected to remain muted in the next two quarters. Gold prices are already high in international markets, and it will increase further in India on account of the 2.5 per cent import duty increase announced in Union Budget 2019 earlier this month. (GFMS Report)

Source: Business Standard

2. Gold import increased in June quarter this year to to 185.20 tonnes against 126.50 tonnes during same period last year

July 26, 2019

Indian Gold imports in June quarter of this year rose by 46 per cent to 185.2 tonnes from 126.5 tonnes in the same quarter last year. In H1, net imports for domestic consumption stood at 279 tonnes, compared to 238 tonnes a year ago. (GFMS Report)

Source: Asian-age

3. US Crude oil inventory drop last week

July 25, 2019

U.S. crude stocks fell by nearly 11 million barrels last week, as per the Energy Information Administration reported on Wednesday, way too much than the analysts’ expectations for a drop of 4 million barrels. Drop in inventories was mainly influenced by temporary factors such as Hurricane Barry. U.S. crude inventories have plunged by 40 million barrels over the last six weeks.

Source: Financial Express

4. US China talking about Grain export as trade talk resumes

July 24, 2019

China and the United States will meet in Shanghai on Tuesday for two days in the next round of trade talks aimed to end their year-long trade war, China's commerce ministry confirmed. US negotiators led by trade representative Robert Lighthizer and Treasury Secretary Steven Mnuchin are likely to fly to China next week

Source: CNN

5. Gold prices rallied towards all-time high in India, Silver followed the move

July 24, 2019

Gold prices in India inched closer to record high amid firming global trend. Gold prices today rose  to ₹35,870 per 10 gram at the bullion market. Silver prices also strengthened after they advanced to ₹42,300 per kg. Domestic gold prices were higher following global markets, gold prices edged higher on expectations of monetary policy easing from major central banks to shore up global economy. 

Source: Livemint

6. Gold prices went high on Fed rate cut bets, weak euro zone data

July 24, 2019

Gold gained on expectations that the U.S. Federal Reserve and other major central banks would adopt a dovish approach to monetary policy, while silver soared to more than one-year high. Investors expect the U.S. central bank to cut its overnight benchmark lending rate at its July 30-31 policy meeting.

Source: Reuters

7. India’s edible oil imports are likely to rise 7.3 percent in 2019-20

July 23, 2019

Poor monsoon progress in early week of July indicated that sowing of edible seeds is less than required and this can further lead to shortage of edible oil. Market expects higher imports this year if monsoon doesn’t progress effectively in Soy and other oil seed growing belts. India imported nearly 9.6 million tonnes of palm oil in last crop year which can further grow to 10.3 million tonnes on the crop year ending this October.

Source: Business Standard

8. Prices of Agri commodities bounced back in July after the IMD reported rainfall deficiency 

July 23, 2019

Indian Meteorological Department (IMD) reported nearly 17 per cent of rainfall deficiency so far this season, Agricultural commodities prices may recover from recent lows after rain shortage. Prices of all other kharif crops had declined by up to 8 per cent in June. In July there was significant recovery in Agri prices following reports of massive crop damage in major growing states.

Source: Business Standard