COMMODITY RESEARCH

COMMODITY INSIGHT
METALS & ENERGY
August 19, 2022

Market Overview Commodities trade largely lower amid US dollar strength, China growth worries, geopolitical tensions

COMEX gold trades marginally lower near $1770/oz weighed down by firmer US dollar and stable bond
Currencies Close Previous Close % Change
yields
Dollar Index 107.48 106.57 0.85%
Euro/USD 1.009 1.018 -0.91% Industrial metals trade largely lower weighed down by concerns about China which offset power issues
GBP/USD 1.193 1.205 -0.98% in Europe and China
USD/YEN 135.89 135.05 0.62%
NYMEX crude trades mixed above $90/bbl as growth concerns counter tighter US crude stocks
USD/INR 79.68 79.45 0.29%
Source : Bloomberg The US dollar index has jumped to 1-month high on safe haven buying and debate about Fed’s
monetary tightening; Asian equity markets trade mixed while US DJIA futures are little changed;
Chinese equities trade marginally lower
Global Indices Close Previous Close % Change
DJIA 33,999.04 33,980.32 0.06%
St. Louis’s James Bullard urged another 75 basis-point increase while Kansas City’s Esther George
FTSE 100 7,541.85 7,515.75 0.35%
said the case for hikes is strong but the pace is up for debate- Bloomberg
Nikkei 28,942.14 29,222.77 -0.96% Germany's Finance Ministry says its economic outlook is bleak amid rising energy prices and supply
Nifty 50 17,956.50 17,944.25 0.07% chain issues- forexlive
Shanghai 3,277.54 3,292.53 -0.46%
Source : Bloomberg Indonesia said China’s Xi Jinping and Russia’s Vladimir Putin plan to be at a Group of 20 summit in
Bali later this year- Bloomberg

PBOC set USD/CNY reference rate for today to its lowest since September 2020- forexlive

Indonesia may impose a tax on nickel exports this year, said President Joko Widodo- Bloomberg

More than 500,000 tons of foodstuffs aboard 21 ships were exported from Ukraine’s major Black Sea
ports in the first half of August as part of the deal with Russia- Bloomberg

UK Gfk consumer confidence index for August fell to -44 as against forecast of a reading of -42

US existing home sales fell 5.9% to 4.81 million units in July as against forecast of a reading of 4.89
million; US leading indicators index fell 0.4% as against forecast of 0.5% decline; Philadelphia Fed
manufacturing index for Aug. stood at 6.2 as against forecast of a reading of -5; weekly jobless claims
fell to 250K as against expectations of a reading of 265K

Data and Events due today (Source: Investing; Forex factory)

Date IST Currency Data Forecast Previous Importance
19-Aug 11:30 EUR German PPI m/m 0.60% 0.60% Medium
GBP Retail Sales m/m -0.20% -0.10% Medium

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 1

 Madhavi Mehta
COMMODITY INSIGHT BULLION madhavi.mehta@kotak.com; 022 6621 6230
COMEX gold trades marginally lower near $1770/oz after a 0.3% decline yesterday which COMEX as on 18-Aug-22
marked its fourth consecutive decline. Gold rose for four consecutive weeks but failed to Gold (US dollar per troy ounce)
build on the gains above $1800/oz level and is not set for its first weekly loss in five weeks. Contract High Low Close Change % Change
Weighing on gold price is recovery in US dollar index as market players debate Fed’s Oct 1775.9 1758.9 1761.1 -5.4 -0.3%
monetary policy. The US dollar index has jumped to 1-month high as safe haven buying Dec 1786.3 1768.8 1771.2 -5.5 -0.3%
and expectations of continuing rate hikes by the Fed has offset mixed US economic data Silver (US dollar per troy ounce)
and choppiness in the US dollar. FOMC minutes failed to give much clarity and highlighted Sep 19.89 19.41 19.46 -0.27 -1.4%
the ongoing debate between inflation and economic growth however with inflation pressure Dec 20.00 19.52 19.57 -0.28 -1.4%
still remaining high globally, market players expected Fed to continue with rate hikes even MCX as on 18-Aug-22
if at a slower pace. The US 10-year bond is steady near 2.9% level as safe haven buying Gold (Rupees per 10 grams)
has kept US bonds supported. While US dollar and bond yields affect gold prices, gold is Oct 51870 51565 51603 60 0.1%
supported by increasing global growth worries, persisting price pressure and increased Dec 52100 51810 51839 49 0.1%
geopolitical tensions. Mixed economic data from major economies highlights increasing Silver (Rupees per kilogram)
stress on the economies. Power crisis in Europe and China has worsened economic Sep 57295 56385 56443 -472 -0.8%
outlook. Inflation data from UK and Euro-zone highlighted persisting price pressure while Dec 58415 57450 57496 -560 -1.0%
rising power and gas prices in global market has also caused uncertainty. Tensions MCX Bullion Index (points)
between US and China have intensified with US planning to hold trade talks with Taiwan Aug 14318 14206 14217 -16 -0.1%
and with China warning that it will take action if necessary. Weighing on gold price is weaker Source: MCX; Bloomberg
investor interest, monetary tightening outlook of major central banks and concerns about Volume and OI Analysis (MCX)
consumer demand in India and China. Gold holdings with SPDR ETF fell by 3.2 tonnes to Gold Vol (lots) Change (%) OI (lots) Change (%)
985.83 tonnes yesterday. This is the lowest holding with the fund since Jan. Virus related
Oct 4432 -24.6 Oct 14787 -0.8
restriction are hampering economic activity in China while Indian gold prices remain at
Dec 363 -12.1 Dec 3072 4.5
elevated levels due to weaker rupee and higher import duty and this may impact demand.
Silver
Gold has corrected after failing to build on the gains above $1800/oz level and with US
Sep 14757 -5.0 Sep 16632 0.8
dollar holding firm we may see prices remaining under pressure however we may see some
Dec 3066 17.7 Dec 6935 22.8
pause close to $1750-1760 levels.
Source: MCX; Bloomberg
COMEX Silver trades modestly lower near $19.4/oz after a 1.4% decline yesterday. Silver MCX Spread Matrix (Regular 1 KG)
has corrected sharply in last few days along with gold amid firmness in US dollar as market Gold Oct Dec Feb Apr
players assess Fed’s monetary policy stance. Concerns about health of Chinese economy Oct 0 -236 -429 -676
has also kept pressure on industrial metals and thereby silver. ETF flows also show weaker Dec -193 -440
investor interest in silver. Silver holdings with iShares ETF fell by 55.91 tonnes to 15044.27 Feb -247
tonnes, the lowest holding with the fund since July end. Silver may remain under pressure Apr 0
as Fed’s tightening outlook and concerns about China may weigh on commodities at large. Source: MCX; KS Commodity Research
MCX Spread Matrix (Regular 30 KG)
Trend in US dollar, bond yields and equities may continue to affect gold and silver and Silver Sep Dec Mar May
focus will be on economic data, central bank comments and development relating to virus Sep 0 -1053 -2277 -3506
spread and geopolitical issues. No major economic event is due today so we may see Dec -1224 -2453
market players reacting to central bank comments and geopolitical developments. Refer to
Mar -1229
Pivot table for support resistance levels.
May 0
Source: MCX; KS Commodity Research

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 2

 Kaynat Chainwala
COMMODITY INSIGHT BASE METALS kaynat.chainwala@kotak.com; 022 6621 6232

August 18, 2022 LME base metals except Copper closed on a negative note yesterday as mixed signals on
MCX India (Rs/kg) the future interest rate trajectory by Fed officials coupled with demand concerns weighed on
Commodity Contract High Low Close Change % Change global risk appetite. Dollar index jumped by 0.9% and touched a one month high of 107.56
on Thursday supported by hawkish comment by Federal Reserve Bank of San Francisco
Aluminium Aug 211.75 208.80 210.80 0.15 0.07%
President Mary Daly that the central bank should raise interest rates “a little” above 3% by
Copper Aug 672.45 657.00 670.75 9.55 1.44%
the end of the year to cool inflation, easing bets that officials would then reverse course.
Lead Aug 183.80 181.85 183.35 0.90 0.49% Also, Philadelphia's Manufacturing index of general activity rebounded sharply to 6.2 in
Nickel Aug 1885.00 1885.00 1885.00 -33.00 -1.72% August from -12.3 in July. US equities closed on a positive note buoyed by a better-than-
Zinc Aug 317.90 310.50 314.70 -2.70 -0.85% expected earnings report while US 10-year treasury yields held steady near 2.88%.
MCX Metal Index (points)
LME Copper prices rose by more than 1% on hopes that China may boost infrastructure
METLDEX Aug 0 0 17233 -48.00 -0.28% spending and provide stimulus for the battered property sector. This has boosted Yangshan
Source - Bloomberg copper import premiums, indicator of refined Copper import demand, to $102.50 a tonne,
LME (USD/tonne) highest since December. Still, prices have been trading lower compared to last week as
Commodity Contract High Low Close Change % Change economic data from the US and China highlighted macro-economic weakness and dimmed
Aluminium 3 Month 2426.0 2381.0 2403.0 -8.00 -0.33% global economic outlook, thereby weighing on the economic barometer. LME Aluminium and
Zinc were weighed down by demand concerns after a rally earlier in the week on lingering
Copper 3 Month 8085.0 7852.0 8031.5 107.00 1.35%
energy crisis in Europe and heat wave from China adding to prospective supply woes. In
Lead 3 Month 2138.0 2062.0 2072.5 -45.00 -2.13%
the earnings statement, En+ Group, the parent company of Russian aluminum giant Rusal,
Nickel 3 Month 22400.0 21685.0 21780.0 -105.00 -0.48% said that about 13m tons, or 20%, of global production generate negative margins, at current
Zinc 3 Month 3518.0 3413.5 3472.5 -41.00 -1.17% aluminum prices. Global aluminum market was in 500,000-ton deficit during the first half.
Source - Bloomberg En+ says Rusal alumina production fell 19.6% y/y to 3.3m tonnes in Jan-June 2022 and that
LME Inventories Total decline was due to suspension of production operations at Mykolaiv Alumina Refinery in
Opening Closing Net On Cancel C/W Ukraine. Inability to process Australian bauxite and export 20% of alumina from Australian
Commodity Stocks Stocks Change Warrnats Warrants Ratio* Queensland Alumina Ltd. plant since April 2022 “due to the refusal of Australian partners to
Aluminium 276875 274525 -2350 169900 104625 38.11%
fulfill contractual obligations based on the sanctions imposed by the Australian government”.
Already, Norsk Hydro is planning to shutter an aluminum smelter in Slovakia next month
Copper 128875 126475 -2400 89625 36850 29.14%
hurt by high electricity prices. Already, fears of deeper cuts in China as higher temperatures
Lead 39050 38900 -150 34825 4075 10.48% in China may hurt power supplies and dry up water for hydro-electricity is adding to supply
Nickel 56034 56010 -24 48360 7650 13.66% concerns. Sichuan, a major aluminum hub in the southwest of China, has vowed to ensure
Zinc 75000 74950 -50 48550 26400 35.22% power supply for residential use, and at least one aluminum smelter there has already cut
Source - Bloomberg *C/W- Cancelled Warrants production. Nickel and Lead were too weighed down in line with broader weakness. In a
LME Cash to 3 month spread (USD/tonne) major market development, President Joko Widodo said Indonesia may impose a tax on
Commodity Close PCP Change
nickel exports this year.
Aluminium 1.00 -2.00 3.00 LME base metals are currently trading flat on limited global risk appetite amid divergent
Copper 13.75 0.75 13.00 signals from Fed officials. Also, Fitch Ratings dropped state-backed Chinese builder Sino-
Lead -4.50 -4.75 0.25 Ocean Group Holding Ltd. from investment-grade territory, the ratings firm’s second-such
Nickel -76.00 -78.00 2.00 downgrade this week. Indonesian President Joko Widodo said China’s Xi Jinping and
Russia’s Vladimir Putin plan to be at a Group of 20 summit in Bali later this year where US
Zinc 60.50 65.00 -4.50
President Joe Biden and other leaders will also be present. MCX metals are likely to trend
Source - Bloomberg
sideways to higher. Refer Pivot table for daily support resistance levels.

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 3

 Madhavi Mehta
COMMODITY INSIGHT ENERGY madhavi.mehta@kotak.com; 022 6621 6230
Crude Oil- NYMEX crude trades mixed above $90/bbl after a 2.7% gain yesterday which
CRUDE OIL
marked its second consecutive gain. Crude oil slipped to late January lows earlier this
MCX Crude Oil (Rs/barrel) as on 18-Aug
week but managed to hold above $85/bbl and we are now seeing some relief rally. Crude
oil has recovered on back of weekly inventory report which noted a sharp decline in US Contract High Low Close Change % Change
crude oil and gasoline stocks and robust gasoline demand. Crude oil has also benefitted Aug 7301 6982 7282 286 4.1
from expectations that higher power and natural gas prices in Europe and Asia may cause Sep 7281 6970 7269 275 3.9
market players to look for alternatives including petroleum products. Market players are NYMEX WTI Crude Oil (USD/barrel) as on 18-Aug
also reassessing possibility of revival of Iran’s nuclear deal which may pave way for more
Sep 91.46 87.32 90.5 2.39 2.7
exports from Tehran. Talks to revive the deal are underway and some progress has been
reported however there are still vast differences which may delay a deal. As per Reuters Oct 91.03 86.92 90.11 2.42 2.8
report, Israel has urged the US and western powers to put an end to negotiations with ICE Brent Crude Oil (USD/barrel)
Iran. However, weighing on crude oil price are demand concerns amid mixed economic Oct 97.42 93.05 96.59 2.94 3.1
data from major economies, persisting virus concerns in China and Europe and China’s Nov 96.53 92.49 95.76 2.74 2.9
struggle to cope with the power crisis. Also weighing on crude oil is increased volatility in NYMEX Heating Oil (USD cents/gallon)
financial market amid debate about monetary policy of Fed and other central banks. The
Sep 368.74 358.17 364.97 3.23 0.9
US dollar index has jumped to 1-month high on safe haven buying and expectations that
Fed may continue with rate hikes. US equity markets are still holding firm however growth Oct 363.85 353.75 360.33 3.51 1.0
worries and tightening expectations has led to increased volatility. Also weighing on crude NYMEX Gasoline (USD cents /gallon)
price is higher Russian supply. As per Reuters report, Russia is forecasting rising output Sep 305.39 293.14 302.61 9.16 3.1
and exports until the end of 2025, saying revenue from energy exports will rise 38% this Oct 281.19 270 278.84 7.67 2.8
year, partly due to higher oil export volumes. Crude oil witnessed sharp losses in last few Spread (USD/barrel) Close Prev. % Change
weeks and we are now seeing some relief rally amid mixed factors and positioning for
ICE Brent- NYMEX WTI 6.48 5.96 0.52
contract expiry. We may see choppy trade however with continuing growth worries and
shaky risk sentiment, we may see selling pressure emerging at higher levels. NYMEX 3-2-1 Crack Spread 45.33 44.70 0.63
Source: MCX;Bloomberg
Natural Gas- NYMEX natural gas trades marginally lower near $9.15/mmBtu after a 0.6%
NATURAL GAS
decline yesterday which marked its second consecutive decline. Natural gas rallied
MCX Natural Gas (Rs/mmBtu)
sharply in last few days however failure to break past the recent 2008 high has led to
some choppiness. Supporting price is tightness in US and global market. US EIA weekly Contract High Low Close Change % Change
inventory report noted an 18 Bcf rise in US working gas stocks as against market Aug 767.9 710 742.4 9.80 1.3
expectations of a 34 Bcf rise and as against 5-year average increase of 47 Bcf for this Sep 768 710.3 741.7 9.90 1.4
time of the year. Robust cooling demand in US and erratic production has led to tightness NYMEX Natural Gas (USD/mmBtu)
in stocks. European gas prices are near March highs amid higher power demand in Asian
Sep 9.663 8.913 9.188 -0.06 -0.6
and Europe and reduced supply from Russia and US. Weighing on US gas prices are
Oct 9.64 8.862 9.17 -0.06 -0.6
forecast of milder weather in US in coming days which may keep a check on cooling
demand. Also despite rising prices in global market, US can’t boost LNG exports Spread/Ratio Close Prev. % Change
significantly due to infrastructural constraints and temporary closure of Freeport terminal. WTI-Natgas Ratio 9.85 9.53 0.32
The sharp rise in gas prices may also cause some shift in demand towards alternatives MCX WTI-Natgas Ratio 9.81 9.55 0.26
like petroleum products. Natural gas has come to an unsteady halt and mixed factors may MCX Energy Index (points)
keep price choppy however overall bias is still positive owing to tighter US and global
Sep 0 0 10345 270.00 2.7
market and we may see buying interest emerging sub $9 level. Refer Pivot table for daily
support resistance levels. Source: MCX;Bloomberg

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 4

 COMMODITY INSIGHT TECHNICAL CHARTS

MCX Gold (Oct) Trading range- 51100-52100 MCX Crudeoil (Sep) Trading range - 6980-7550

Source:- Tradingview, KS Commodity Research Source:- Tradingview, KS Commodity Research

MCX Copper(Aug) Trading range- 655-680 MCX Zinc (Aug) Trading range- 306-324

Source:- Tradingview, KS Commodity Research Source:- Tradingview, KS Commodity Research

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 5

 COMMODITY INSIGHT PIVOT POINTS

PIVOT ANALYSIS FOR MAJOR NON AGRI COMMODITIES

Breakout Breakout Breakdown Breakdown
Commodity S3 S2 S1 Pivot R1 R2 R3
Above Target Below Target
MCX BULLDEX Aug 14056 14131 14168 14243 14280 14355 14392 14279 14329 14155 14105
Index

MCX METLDEX Aug 8617 4308 8617 4308 8617 4308 8617 17233 #DIV/0! 17233 #DIV/0!
MCX ENRGDEX Sep 5173 2586 5173 2586 5173 2586 5173 10345 #DIV/0! 10345 #DIV/0!
Precious Metals

Spot Gold 1734.8 1745.1 1751.7 1762.1 1768.7 1779.0 1785.6 1767.9 1775.6 1749.3 1741.6
MCX Gold Oct 51166 51366 51471 51671 51776 51976 52081 51771 51908 51435 51298
MCX Gold Mini Sep 51245 51422 51496 51673 51747 51924 51998 51780 51893 51504 51391
Spot Silver 18.98 19.24 19.44 19.69 19.89 20.15 20.35 19.79 20.00 19.29 19.08
MCX Silver Sep 55184 55785 56094 56695 57004 57605 57914 56944 57354 55943 55532
MCX Silver Mini Nov 57074 57595 57924 58445 58774 59295 59624 58628 59011 57693 57309
LME Copper 7630 7741 7863 7974 8096 8207 8329 8160 8270 7903 7793
MCX Copper Aug 642.7 649.8 658.1 665.3 673.6 680.7 689.0 679.2 686.5 662.3 655.0
Industrial Metals

LME Zinc 3335 3374 3440 3479 3544 3583 3649 3530 3579 3415 3366
MCX Zinc Aug 304.5 307.5 311.9 314.9 319.3 322.3 326.7 318.8 322.2 310.6 307.2
LME Lead 1973 2018 2049 2094 2125 2170 2201 2114 2149 2031 1996
MCX Lead Aug 180.1 181.0 182.1 182.9 184.0 184.9 186.0 184.4 185.3 182.3 181.4
LME Nickel 20718 21201 21433 21916 22148 22631 22863 22173 22498 21387 21062
MCX Nickel Aug 1885 1885 1885 1885 1885 1885 1885 1885 1885 1885 1885
LME Aluminium 2340 2360 2385 2405 2430 2450 2475 2428 2448 2378 2358
MCX Aluminium Aug 206.3 207.5 209.2 210.5 212.2 213.4 215.1 212.4 213.8 209.2 207.8
NYMEX Crude Oil Sep 82.74 85.03 86.88 89.17 91.02 93.31 95.16 92.78 94.79 88.22 86.21
Energy

MCX Crude Oil Aug 6680 6831 6999 7150 7318 7469 7637 7457 7615 7107 6949
NYMEX Natural Gas Sep 8.052 8.483 8.802 9.233 9.552 9.983 10.302 9.601 9.961 8.776 8.415
MCX Natural Gas Aug 650.7 680.5 708.4 738.2 766.1 795.9 823.8 773.4 802.0 710.0 681.4
Source - Bloomberg; KS Commodity Research

Pivot: If the Price opens above the pivot, the day trend might be positive and if the price opens below pivot the day trend might be negative.
Supports/Resistances: During the normal course of trading,supports/resistances are important levels which may be used by traders to book profits if they have any buy/sell
position.
Breakout/Breakdown: Breakout and Breakdown levels are the extreme levels above which the direction might change.The direction changes to bullish above the mentioned
breakout and bearish if the price moves below the breakdown.
Breakout/ Breakdown Target: It is the price which might be achieved if it trades above or below the breakout or breakdown respectively.
*Note: Pivot,Suppport/Resistances, Breakout , Breakdown are generated as per statistical formulas.So these levels might differ from the levels given by the
technical analyst as the analyst use technical charts for givng trading levels.

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 6

 COMMODITY INSIGHT OPTIONS AND SPREAD MONITOR

OPTIONS MONITOR AS ON 18-Aug-22 MCX SPREAD MONITOR

Gold Silver Crude Oil Natural gas Copper Zinc Nickel Commodity Current Previous Trend
Call Vol (lots) 573 2024 75124 63377 14 0 0 Gold 1M-2M (Rs/10gm) -236 -247 Narrowing
Put Vol (lots) 305 1641 48346 72609 2 1 0 Silver 1M-2M (Rs/kg) -1053 -1141 Narrowing
Call OI (lots) 1666 2857 5233 8301 16 1 0 Copper 1M-2M (Rs/kg) -4.45 -3.85 Widening
Put OI (lots) 986 1448 7071 17586 21 1 0 Aluminiun 1M-2M (Rs/kg) -1.20 -1.00 Widening
Put Call Ratio (Vol) 0.53 0.81 0.64 1.15 0.14 - - Lead 1M-2M (Rs/kg) 0.95 0.70 Widening
Put Call Ratio(OI) 0.59 0.51 1.35 2.12 1.31 1.00 - Nickel 1M-2M (Rs/kg) 0.00 0.00
Turnover Call (crores) 307.3 357.7 5850.0 6251.3 2.4 0.0 0.0 Zinc 1M-2M (Rs/kg) 1.50 2.70 Narrowing
Turnover Put (crores) 154.3 275.2 3395.8 6436.9 0.3 0.2 0.0
Crude 1M-2M (Rs/bbl) 13.00 2.00 Widening
Max Call Vol (lots) 200 652 20843 16298 6 0 0
Natural gas 1M-2M (Rs/mmBtu) 0.70 0.80 Narrowing
Max Call Vol Strike 53000 57000 7500 750 700 - -
Aluminium-Lead (Rs/kg) 27.45 28.20 Narrowing
Max Put Vol (lots) 97 910 15621 18252 1 1 0
Zinc- Aluminium (Rs/kg) 103.90 106.75 Narrowing
Max Put Vol Strike 51000 55000 7000 700 670 340 -
Max Call OI (lots) 533 747 1154 1216 9 1 0 Zinc-Lead (Rs/kg) 131.35 134.95 Narrowing
Max Call OI Strike 55000 60000 7500 750 700 320 - Gold Silver Ratio 0.91 0.91 Widening
Max Put OI (lots) 228 340 2259 2824 6 1 0 Crude/NG Ratio 9.81 9.55 Widening
Max Put OI Strike 49000 55000 7000 600 630 290 - Source: Bloomberg; KS Commodity Research

Souce: MCX; KS Commodity Research; Vol stands for Volume; OI stands for Open Interest

Observations- Trade volume in crude oil fell amid contract expiry. OI concentration stood at
7000-7500 indicating expectations of lower prices. Trade volumes for natural gas rose amid
mixed trade. OI concentration shifted to 600-750 indicating a bottom is in place. Gold trade
volume were steady amid mixed trade while silver volumes picked up some pace. Trade
participation in copper, nickel and zinc options remained negligible

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 7

 COMMODITY INSIGHT

RATING SCALE FOR DAILY REPORT

BUY - We expect the commodity to deliver 1% or more returns

SELL - We expect the commodity to deliver (-1%) or more returns

SIDEWAYS- We expect the commodity to trade in the range of (+/-)1%

NOTE - The recommendations are valid for one day from the date of issue of the report, subject to mentioned stop loss, if any

FUNDAMENTAL RESEARCH TEAM

Ravindra Rao Madhavi Mehta Kaynat Chainwala Riteshkumar Sahu
Head of Research Bullion, Energy Base Metals Agri Sector
ravindra.rao@kotak.com madhavi.mehta@kotak.com kaynat.chainwala@kotak.com riteshkumar.sahu@kotak.com
+91 22 6621 6234 +91 22 6621 6230 +91 22 6621 6232 +91 22 6621 6233

TECHNICAL RESEARCH TEAM

Anup Sahu Abhijit Chavan
anup.sahu@kotak.com chavan.abhijit@kotak.com
+91 22 6621 6216 +91 22 6621 6217

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 8

 COMMODITY INSIGHT

Disclosure/Disclaimer
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or (b) be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a market maker or act as advisor or have other potential/material conflict of interest with respect to any
recommendation and related information and opinions at the time of publication of Research Report or at the time of public appearance. The views provided herein are general in nature and does not consider risk appetite or
investment objective of particular investor; readers are requested to take independent professional advice before investing. This should not be construed as invitation or solicitation to do business with KSL. Kotak Securities Limited
is also a Portfolio Manager. Portfolio Management Team (PMS) takes its independent investment decisions

The analyst for this report certifies that all of the views expressed in this report accurately reflect his or her personal views about the securities if any and its or their securities, and no part of his or her compensation was, is or will
be, directly or indirectly related to specific recommendations or views expressed in this report.

No part of this material may be duplicated in any form and/or redistributed without Kotak Securities' prior written consent. Details of Associates are available on website i.e. www.kotak.com

1.“Note that the research analysts contributing to the research report may not be registered/qualified as research analysts with FINRA; and

2. Such research analysts may not be associated persons of Kotak Mahindra Inc. and therefore, may not be subject to NASD Rule 2711 restrictions on communications with a subject company, public appearances and trading
securities held by a research analyst account

Any U.S. recipients of the research who wish to effect transactions in any security covered by the report should do so with or through Kotak Mahindra Inc. (Member FINRA/SIPC) and (ii) any transactions in the securities covered by
the research by U.S. recipients must be effected only through Kotak Mahindra Inc. (Member FINRA/SIPC) at 369 Lexington Avenue 28th Floor NY 10017 USA (Tel: +1 212-600-8850).

Kotak Securities Limited and its non US affiliates may, to the extent permissible under applicable laws, have acted on or used this research to the extent that it relates to non US issuers, prior to or immediately following its publication.
This material should not be construed as an offer to sell or the solicitation of an offer to buy any security in any jurisdiction where such an offer or solicitation would be illegal. This research report and its respective contents do not
constitute an offer or invitation to purchase or subscribe for any securities or solicitation of any investments or investment services. Accordingly, any brokerage and investment services including the products and services described
are not available to or intended for Canadian persons or US persons.”

Research Analyst has served as an officer, director or employee of Subject Company: NA

We or our associates may have received compensation from the subject company, if any in the past 12 months: NA

We orKS
ourCommodity
associates may Insight Please
have managed or co-managed public offering of securities see
for the Disclosure/Disclaimer
subject company (ies) in the past at
12 the endNAof
months: the report 9
 COMMODITY INSIGHT
We or our associates may have received compensation for investment banking or merchant banking or brokerage services from the subject company, if any in the past 12 months: NA

We or our associates may have received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company, if any in the past 12 months: NA.

We or our associates may have received any compensation or other benefits from the Subject Company if any or third party in connection with the research report: NA.

Our associates may have financial interest in the subject company(ies) if any: NA

Research Analyst or his/her relative's financial interest in the subject company (ies)/securities: No

Kotak Securities Limited has financial interest in the subject company (ies)/securities at the end of the month immediately preceding the date of publication of Research Report: No

‘However, Kotak Securities Prop/Arbitrage team could have exposure/financial interest to the subject company/companies during the ongoing month.’

Our associates may have actual/beneficial ownership of 1% or more securities at the end of the month immediately preceding the date of publication of Research Report.

Research Analyst or his/her relatives has actual/beneficial ownership of 1% or more securities at the end of the month immediately preceding the date of publication of Research Report: No

Kotak Securities Limited has actual/beneficial ownership of 1% or more securities at the end of the month immediately preceding the date of publication of Research Report: No

Subject Company, if any may have been client during twelve months preceding the date of distribution of the research report.: NA

Daily price movement of commodities is available on the following websites:

https://www.mcxindia.com/market-data/market-watch

https://ncdex.com/MarketData/LiveFuturesQuotes.aspx

https://www.nseindia.com/live_market/dynaContent/live_watch/commodity_der_stock_watch.htm

https://www.bseindia.com/markets/Commodity/commodity.html

Kotak Securities Limited. Registered Office: 27 BKC, C 27, G Block, Bandra Kurla Complex, Bandra (E), Mumbai 400051. CIN: U99999MH1994PLC134051, Telephone No.: +22 43360000, Fax No.: +22 67132430. Website:
www.kotak.com / www.kotaksecurities.com. Correspondence Address: Infinity IT Park, Bldg. No 21, Opp. Film City Road, A K Vaidya Marg, Malad (East), Mumbai 400097. Telephone No: 42856825. SEBI Registration No:
INZ000200137(Member of NSE, BSE, MSE, MCX & NCDEX), AMFI ARN 0164, PMS INP000000258 and Research Analyst INH000000586. NSDL/CDSL; IN-DP-629-2021. Compliance Officer Details: Mr. Sanjayu Nair Call: 022 -
4285 8484, or Email: ks.compliance@kotak.com

Details of Contact Person Address Contact No. Email Id

Kotak Securities Ltd., 2nd Floor, Neptune Elements, Road No 22,Wagle service.securities@kotak.com
Customer Mr. Tabrez 18002099191/
Industrial Estate, Kisan Nagar, Thane (West), Thane Maharashtra,
care Anwar 18002099393
400604 ks.escalation@kotak.com

Head of Kotak Securities Ltd., 2nd Floor, Neptune Elements, Road No 22,Wagle
Mr. Hitesh
Customer Industrial Estate, Kisan Nagar, Thane (West), Thane Maharashtra, 022-42858208 ks.servicehead@kotak.com
Sindhwani
care 400604

Compliance Kotak Towers, 8th Floor, Building No.21, Infinity Park, Off Western
Mr. Sanjayu Nair 022-42858484 ks.compliance@kotak.com
Officer Express Highway, Malad (East), Mumbai, Maharashtra - 400097.

Mr. Jaideep Kotak Towers, 8th Floor, Building No.21, Infinity Park, Off Western
CEO 022-42858301 ceo.ks@kotak.com
Hansraj Express Highway, Malad (East), Mumbai, Maharashtra - 400097.

In absence of response/complaint not addressed to your satisfaction, you may lodge a complaint with SEBI at https://scores.gov.in/scores/Welcome.html or Exchange at https://investorhelpline.nseindia.com/NICEPLUS/ ,
https://bsecrs.bseindia.com/ecomplaint/frmInvestorHome.aspx , Investor Service Centre | National Commodity & Derivatives Exchange Limited (ncdex.com) , https://igrs.mcxindia.com/ . Please quote your Service Ticket/Complaint
Ref No. while raising your complaint at SEBI SCORES/Exchange portal or Depository at https://www.epass.nsdl.com/complaints/websitecomplaints.aspx and https://www.cdslindia.com/Footer/grievances

KS Commodity Insight Please see Disclosure/Disclaimer at the end of the report 10