Posted at 12:44 PM , on January 20, 2020
The last big change in the Union Budget pertaining to commodity markets was in 2016 when the regulation of commodity markets was brought under the purview of SEBI. Since then, the demands of the commodity markets have been growing but the Budgets have not exactly been in sync. Here are 5 expectations.
Time to scrap CTT
It may be recollected that commodity transaction tax (CTT) was imposed on commodity market transactions in 2013, on the lines of STT. Since then, the commodity volumes have failed to scale the pre-CTT levels. The reasons are not hard to seek. Commodity trading is a highly leveraged business and any additional costs tend to get magnified. Each year, the commodity traders have been demanding scrapping of CTT. It is high time this budget bites the bullet.
Posted at 10:42 AM , on March 22, 2017
Where exactly is crude oil prices headed from here?
The price of crude has had a volatile period since the beginning of 2016. After touching a low of around $30/bbl in early 2016, crude bounced back sharply to almost the $45 level. It was only post November that Brent Crude actually breached the $50 mark decisively and perched closer to the $56 mark. However, over the last few days, the price of Brent is back to around the $50 mark. Where exactly is Brent headed and what could determine the road ahead for crude? Continue reading
Posted at 5:48 PM , on February 9, 2016
It could have long term implications for oil prices…
On Feb 04th the US president, Barrack Obama, proposed a $10 tax on imported crude oil. While a tax on imported oil is nothing new; remember India also imposes higher excise on petrol and diesel to enhance revenue collections in tough times. The point is that Obama plans to use the $10 tax on oil to finance clean transport initiatives. Continue reading
Posted at 6:25 PM , on January 13, 2016
Will 2016 see a revival in the price of gold?
It is after a very long time that the price of gold has seen a consistent rise for 9 successive trading sessions. After touching a low of $1050/oz and threatening to fall below the $1000 mark, gold registered smart gains to cross and settle above the $1100 mark. Is this a sustainable rally in gold prices, or is it just another false rally like the many cases we saw post 2011? Continue reading
Posted at 4:51 PM , on December 22, 2015
That may not be really too far off…
Goldman Sachs has been warning of $20 oil for quite some time and that prophesy seems to be appearing increasingly plausible now. A mix of supply glut, weak demand and changing oil economics, could lead to oil touching $20. Let us understand the key factors that could drive oil to new lows… Continue reading