3 December 2015

Natural Gas and gold slips ahead of weekly storage data

Natural Gas futures plunged by over 1.7 per cent in the domestic market on Wednesday as investors and speculators exited positions in the energy commodity tracking a weak trend in the overseas market amidst caution ahead of the weekly US storage data which may signal the strength of the fuel in the world’s biggest economy.
Yellen comments
Gold futures ended lower in the domestic market on Wednesday as investors and speculators exited positions in the precious metal tracking weakness in the overseas market after Fed Chair Janet Yellen indicated that the world’s top central bank is on track to raise interest rates for the first time in almost a decade this month, curbing the lure for the bullion as a store of value.
Yellen stressed that the world’s biggest economy is ready for higher borrowing costs, while a bullish US private payrolls report for November which showed that the US private sector added most workers in five months also bolstered the case for policy tightening.
gold slumped to a near-six-year low on Thursday after comments from Federal Reserve chair Janet Yellen virtually cemented the case for a US rate hike this month, while the strength in the dollar also pressured the metal.

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