MCX Bullion News Update

Gold prices - Gold held near a one-month low on Thursday and looked likely to drop below the key $1,100-an-ounce level after Federal Reserve Chair Janet Yellen bolstered market expectations for a U.S. interest rate hike in December. Bullion extended its losing streak to a sixth session on Wednesday, after Yellen pointed to a possible December interest rate lift-off. Another top Fed official said on Wednesday that a policy meeting set for Dec. India's prime minister will on Thursday launch a programme to lure tonnes of gold from households into the banking system, but low returns and concerns over tax authorities hounding depositors may hinder a scheme aimed at cutting imports. 

MCX Copper Tips -LME copper opened at USD 5,148/mt during Asian trading hours and advanced to USD 5,220/mt. However, LME copper fell back due to stronger dollar and slipping crude oil prices and closed down USD 32.5/mt at USD 5,130/mt. Positions grew but trading volumes declined. LME copper inventories posted a large drop.US dollar and crude oil prices pose pressures on base metal prices but Chinese shares will support metal prices. Alcoa announces it would reduce aluminum smelting capacity by 503,000 mt and alumina refining capacity by 1.2 million mt, beginning in Q4 2015 and completed by the end of Q1 2016. 

Crude oil prices -Oil futures were up slightly in early Asian trade on Thursday, barely making a dent in losses posted the previous session after official figures showed a sixth consecutive week of inventory gains in U.S. crude stockpiles. Contributing to the general bearish sentiment was an internal OPEC document published by Reuters that showed weaker demand in the next few years for oil from the producer group. OPEC oil ministers are due to meet on Dec. 4 to decide whether to extend the strategy of allowing prices to fall to slow higher-cost rival supply.