MTECHTIPS:-Global Cotton production in 2013-14 may fall to 4-year low: ICAC
Global cotton output in 2013/14 may fall for the second consecutive season resulting in the smallest output in four years. .Lower cotton prices and increased attractiveness of competing crops will decrease the production of global cotton by 11% to 23.2 million tons, according to International Cotton Advisory committee (ICAC).Production is expected to fall sharply in the United States and Turkey, where competition with grains and soybeans is strong. Smaller crops are also projected in China, Pakistan, Central Asia and Francophone Africa. Production is forecast only slightly down in India, assuming a recovery in the average yield.Global cotton mill use is expected to continue growing slowly in 2013/14, on the basis of a continued gradual recovery in global economic growth. The Secretariat forecasts global cotton mill use to rise by 3% to 24.2 million tons, driven by South Asia. World cotton trade could remain almost stable at 7.8 million tons, as a projected further drop in Chinese imports could be offset by increased demand from the rest of the world.

MTECHTIPS:-If you were a Commodity, you should have born Gold
Given below is a table of average prices of gold, silver and crude oil:2001 and 2002 were turning points for gold, silver and crude oil prices. In 2001, gold prices began a trend in which the commodity mounted a rocket headed towards north; that rocket is still being propelled and viewed in the current light, gives one the impression that it is a rocket that would be fired for perpetuity. Gold prices dating before 2000 had its share of ups and downs in contrast.Silver too began on an upward journey in 2002 along with crude oil. However, they had to retreat in 2009 as the economic slow-down bit. Please note that silver and crude oil are having industrial use, while gold has no other use except for investment. And 2009 being the year of QE1 could still not keep silver and crude oil on a high pedestal as enjoyed by gold.If you were a commodity, you should have born gold. Gold or nothing!Meanwhile, reports suggest that US dollar as a percentage of global holdings of reserve assets has seen a decline from 36.6% in 2006 to 28.7% in 2012.

MTECHTIPS:-Gold futures fall 1% to hit 4-week low on technical selling
Gold futures came under heavy selling pressure during late Asian trade on Tuesday, with futures extending losses after falling through key support levels, triggering a flurry of sell orders.A lack of progress in negotiations between U.S. lawmakers in Washington aimed at resolving the looming fiscal cliff crisis continued to weigh on market sentiment.On the Comex division of the New York Mercantile Exchange, gold futures for February delivery traded at USD1,707.25 a troy ounce during European morning trade, down 0.8% on the day.Prices fell by as much as 1.2% earlier in the day to trade at a session low of USD1,701.25 a troy ounce, the weakest level since November 6.Gold

prices were likely to find support at USD1,683.55 a troy ounce, the low from November 6 and nearterm resistance at USD1,724.45, Monday’s high.Gold’s losses accelerated after prices broke below key support levels close to the USD1,705-level, triggering fresh sell orders amid bearish chart signals.Market sentiment came under pressure after the Institute for Supply Management said in a report that its index of U.S. purchasing managers unexpectedly contracted in November, underlining concerns over the U.S. economic outlook.

MTECHTIPS:-Crude oil futures edge lower with fiscal cliff in focus
Crude oil futures edged lower during European morning hours on Tuesday, as a lack of progress in negotiations for a deal to avoid the U.S. fiscal cliff before a January deadline continued to weigh on appetite for riskier assets.On the New York Mercantile Exchange, light sweet crude futures for delivery in January traded at USD88.88 a barrel during European morning trade, down 0.25% on the day.New York-traded oil prices traded in a range between USD88.53 a barrel, the daily low and a session high of USD89.08 a barrel.New York-traded oil prices rallied to a six-week high of USD90.30 a barrel on Monday, before trimming gains to end the session little changed after the Institute for Supply Management said in a report that its index of U.S. purchasing managers unexpectedly contracted in November.The ISM index fell 2.2 points to 49.5, the lowest reading since July 2009, underlining concerns over the U.S. economic outlook.Investors were also worried about the looming fiscal cliff in the U.S., approximately USD600 billion in automatic tax hikes and spending cuts due to come into effect on January 1, unless a divided Congress and the White House can work out a compromise in the four weeks left before the deadline.There are fears that U.S. lawmakers will repeat the same political divisiveness that led Standard & Poor's to downgrade the U.S.’s AAA rating in August 2011 and tip the country back into a recession.