Gold futures slip but euro zone concerns support

                        Gold futures slipped lower on Thursday but losses looked likely to remain limited as ongoing concerns over the financial stability of the euro zone underpinned safe haven demand for the precious metal.

On the Comex division of the New York Mercantile Exchange, gold futures for June delivery slipped 0.13% to USD1,605.15 per troy ounce.

Gold futures were likely to test support USD1,591.20, Wednesday’s low and resistance at USD1,613.46, Monday's high. 

Gold prices remained supported as banks in Cyprus prepared to open for the first time in almost two weeks, with capital controls in place to prevent a run on banks.

Cypriot banks have been closed since March 16, when the European Union presented a proposal to force losses on all depositors in exchange for a EUR10 billion bailout, a plan which was subsequently rejected by the country’s parliament.

Investors remained concerned that the bailout deal for Cyprus could set a precedent for future bailouts in larger euro zone states, with big bank depositors and senior bond holders forced to suffer losses.

Meanwhile, in Italy doubts continued over whether a stable coalition government could be formed, fuelling concerns that the country may have to go back to the polls.

Elsewhere, Comex silver for May delivery was up 0.020% to USD28.668 per ounce while copper for May delivery was down 0.40% to USD3.430 per ounce. 
Courtesy : Investing.com

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Crude oil futures steady as markets focus on Cyprus, Italy

           Crude oil futures were steady on Thursday, as concerns over a potential fallout from Cyprus's bailout and political deadlock in Italy continued to dominate market sentiment. 

On the New York Mercantile Exchange, light sweet crude futures for delivery in May traded at USD96.55 a barrel during European morning trade, down 0.03%. 

Investors remained cautious as Italian centre-left leader Pier Luigi Bersani seemed to have only slim hope of forming a government after talks with rival party leaders ended on Wednesday with rejection from Beppe Grillo's 5-Star Movement. 

Markets were also jittery as Cyprus prepared to reopen its banks for the first time in nearly two weeks, with fears of bank runs prompting the government to impose a number of controls, including limiting withdrawals and banning cheques. 

On Wednesday, a report by the National Association of Realtors showed that the U.S. pending home sales index slipped 0.4% in February as limited inventory curtailed the market in many areas, but remained at the second highest level in nearly three years. 

The U.S. is the world’s biggest oil-consuming country, responsible for almost 22% of global oil demand.

Elsewhere, on the ICE Futures Exchange, Brent oil futures for May delivery slid 0.30% to trade at USD109.36 a barrel, with the spread between the Brent and crude contracts standing at USD12.81 a barrel.
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Gold falls in Asia after snapping 3-day losing streak

                         Gold futures are trading slightly lower during Thursday’s Asian session after snapping a three-day losing streak Wednesday in the U.S. 

On the Comex division of the New York Mercantile Exchange, gold futures for June delivery fell 0.9% to USD1,605.75 per troy ounce in Asian trading Thursday after settling up 0.58% at USD1,606.55 a troy ounce in U.S. trading on Wednesday. 

Gold futures were likely to test support USD1,590.85 a troy ounce, Monday's low, and resistance at USD1,614.40, Monday's high. 

Gold futures were buoyed by safe-haven buying induced in part by more euro zone-related fears. On Wednesday, the head of Italy’s center-left alliance, Pier Luigi Bersani, ruled out forming a coalition any time soon. Following February’s Italian election results, traders have been fearful that the new government would be no more than gridlock and not allow for additional austerity measures. 

Elsewhere, the European Commission reported earlier that its eurozone Economic Sentiment Indicator fell to 90.0 in March from 91.1 in February.

Analysts were expecting the index to fall to 90.4 last month, which further weakened the euro and bolstered gold's appeal as did lingering concerns surrounding the terms tied to Cyprus's recent bailout. 

In U.S. economic news, the National Association of Realtors said pending home sales fell 0.4% in February from January, but added the number increased 8.4% on a year-over-year basis. Despite trading lower today in Asia, gold is on track for gain of better than 1.5% this month. 

Elsewhere, silver for May delivery rose 0.24% to USD28.768 per ounce while copper for May delivery gained 0.03% to USD3.455 per ounce.
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Natural gas rallies to 1-1/2 year highs

                          Natural gas futures rallied to the highest level in 18-months on Wednesday as forecasts for cooler-than-normal April weather bolstered expectations for increased home heating fuel demand.

On the New York Mercantile Exchange, natural gas futures for delivery in May traded at USD4.056 per million British thermal units during U.S. morning trade, advancing 1.64%.

Gas prices have rallied in recent sessions as unseasonably cold spring weather boosted demand for the home heating fuel. The increase in demand has raised expectations that a glut in natural gas inventory levels could be reduced.

The heating season from November through March is the peak demand period for U.S. gas consumption, particularly in the Northeast and Midwest. Nearly 50% of all U.S. households use gas for heating.

Natural-gas stockpiles are currently at 1,876 billion cubic feet, above the five-year average level for this time of year after mild weather during the 2012 winter curbed heating demand and saw inventories swell.

Elsewhere on the NYMEX, light sweet crude oil futures for delivery in May were down 0.5% to trade at USD95.85 a barrel, while heating oil for May delivery was almost unchanged at USD3.017 per gallon. 
Courtesy : Investing.com

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