The critical Asian indexes continued an upward trajectory on March 3, 2016. But the upward movement moderated compared to the previous two days.
Latin American markets were trading surprisingly higher on March 3, 2016, even after a slew of negative macroeconomic data in Brazil.
The metals and mining and oil production sectors took positive cues as commodity prices continued the rally on March 3, 2016. XOP was the outperformer among major sector-specific ETFs.
With the government committing to maintain its fiscal deficit targets, the RBI can be expected to reduce the repo rate further.
The central theme of India’s 2016–17 budget was rural India. This budget and its implications can be important for investors looking to invest in India for the long term.
The rise in the haven bids in 2016 has caused a jump in the price of gold by close to 17%. However, silver has increased only 8.3%—almost half the rise in gold.
While presenting the annual federal budget on Monday, February 29, India’s government decided to add a 1% sales tax to all gold jewelry sold in India. This resulted in a strike by the country’s jewelers.
Gold and silver have gained 17.1% and 8.3%, respectively, during the past two months. Gold was trading at $1,241.80 per ounce and silver was trading at $15.10 per ounce as of Wednesday, March 2, 2016.
The price changes in precious metals—gold, silver, platinum, and palladium—can be studied by using cross-commodity spreads. These spreads utilize gold as the primary metal, connecting its price to silver, platinum, and palladium.
Crude oil prices are trading close to the key resistance level of $36 per barrel. Oil prices rallied almost 30% since the low in February 2016.
On March 2, the EIA reported that the weekly US crude oil refinery demand rose by 167,000 bpd to 15.9 MMbpd for the week ending February 26, 2016.
On March 2, 2016, the EIA reported that US crude oil imports rose by 490,000 bpd to 8.3 MMbpd for the week ending February 26, 2016.
The EIA reported that the weekly US crude oil production fell by 25,000 bpd to 9.1 MMbpd for the week ending February 26, 2016.
On March 2, 2016, the EIA published the This Week in Petroleum report. The rise in the distillate production led to the rise in distillate stocks.
Distillate stocks rose by 2.9 MMbbls for the week ending February 26. The US distillate inventory fell by 0.26 MMbbls for the week ending February 19, 2016.
On March 2, the EIA released its This Week in Petroleum report. The gasoline production fell by 674, 000 bpd to 9.3 MMbpd for the week ending February 26.
The EIA (U.S. Energy Information Administration) reported that gasoline stocks fell by 1.5 MMbbls to 255 MMbbls for the week ending February 26, 2016.
The EIA reported that the US crude oil inventory rose by 10.4 MMbbls to 518 MMbbls for the week ending February 26, 2016—the highest build since March 2015.
April WTI crude oil futures contracts rose slightly by 0.8% to $34.7 per barrel on March 2, 2016. Brent crude oil prices also rose slightly by 0.3%.
ExxonMobil (XOM) closed 4% above its 100-day moving average at $82.70 yesterday. On February 22, XOM’s 20-day moving average moved above its 100-day moving average, which is a bullish sign.