Crude Palm Oil Trading Between 558.47 And 574.27

Crude palm oil trading range for the day is 558.47-574.27. Market is looking to take support at 561.7, a break below could see a test of 558.5 and resistance is likely to be seen at 569.6, a move above could see prices testing 574.3. In yesterday's trading session crude palm oil has touched the low of 563.1 after opening at 569.1, and finally settled at 565.

Crude palm oil yesterday traded with the negative node and settled -0.11% down at 565 tracking weakness in spot market demand but downside was limited supported by overseas prices which gained on expectations the Federal Reserve and European Central Bank (ECB) will announce new measures to encourage growth, boosting commodity demand.

BMD CPO edged to a 1 week high on Monday lead by gains in broader financial markets on expectations the US Fed and ECB will announce new measures to encourage growth, boosting commodity demand. Persistent drought in the US Midwest that threatened Soy crop yields also supported prices, with traders expecting a crop downgrade in the weekly progress report by the USDA.

The report showed a further 2% cut in the G/ex crop rating to 29% which supported the soy complex. October 2012 CPO futures closed 2.7% higher at MYR3,005/ton.

Malaysia's palm oil exports fell 14.3 percent and 18.6 percent over the July 1-25 period, according to cargo surveyors Intertek Testing Services and Societe Generale de Surveillance respectively. Malaysia will increase shipping quotas for tax free crude palm oil by up to 2 million tonnes this year to help planters cope with higher output in the next few months, government sources said, as the world's No. 2 supplier struggles to maintain its export momentum.

Gold Trading Between 30094 And 30220
Gold trading range for the day is 30094-30220. Technically market is getting support at 30130 and below could see a test of 30094 level, And resistance is likely to be seen at 30193, a move above could see prices testing 30220.

Gold trading range for the day is 30094-30220. Technically market is getting support at 30130 and below could see a test of 30094 level, And resistance is likely to be seen at 30193, a move above could see prices testing 30220.

Gold prices traded largely unchanged, as market participants await U.S. Federal Reserve's policy meeting scheduled today in order to assess whether the central bank will launch another round of quantitative easing. Speculation is rife that US Federal Reserve will probably initiate the third round of quantitative easing during September meeting, which could be equivalent to the amount of USD 600bn. In this regard, if Fed provides such hints during this week, then we could witness broad based rally in the commodity complex.

Gold prices traded in the range on expectations that the Fed Reserve or the ECB will move to stimulate their respective economies, which would bolster Gold. The ECB and the Fed are due to address monetary policy this week, and talk continued to build in precious metals markets Tuesday that the Fed may hint at rolling out a third round of quantitative easing to spur US recovery, while the ECB may hint at a need for similar tools to lower borrowing costs and steer the European economy towards growth.

The dollar and Gold trade inversely from one another and mere talk of QE can send the greenback falling and Gold rising. ECB stimulus often sends the euro falling and the dollar rising, though Gold can track the dollar if the European monetary authority intervenes with stimulus.

COMEX Gold could not break $1630 and ended in the negative zone for the first time in last four days. For the day coming by expect Bullion desk to remain volatile due to ongoing efforts to support the leading economies. Gold has support level of 29730 with the resistance of 29825.

Gold prices traded on a mixed note ahead of policy decision on Wednesday August 1, 2012 by the US Federal reserve and ECB on August 2, 2012 and settled marginally lower by 0.1 percent on Monday. Additionally, strength in DX also pressurized prices on the downside. The yellow metal touched a low of $1,614.24/oz and closed at $1,620.49/oz in yesterday’s session.