Jobless Claims and Commodity Market Tips

Crude Oil Commodity Market update yesterday, DoE inventory report showed crude stocks fell
by 1.8 million barrels for the week ended May 2 against broad forecast of a rise by over 1.2
million barrels. Total stocks though continued to be very high and remained near the 397.6
million barrels. In product stocks, gasoline inventory increased by 1.6 million barrels while
distillate fell 447,000 million barrels.

Amongst major cues as per the weekly report from DoE:
1. Refinery inputs in the US averaged 15.9 MBPD, 50,000 barrels per day less than the previous
week.
2. US crude oil imports averaged 6.9 MBPD, lower by 598,000 barrels per day on a weekly
comparison and lower than last four weeks average of 7.6 MBPD
3. While Refinery operation rate reduced moderately to 90.2% of capacity, gasoline production
increased last week, averaging 9.0 MBPD as probably refiners take note of forthcoming demand
for the commodity in the summer season.

Net to net looking purely at the weekly inventory report, we are moving into moderate buying
during intra-day trade. Gains though might be little bit low as Brent stands marginally under
pressure tracking cues from Eurasia region. Brent was moderately lower today morning after
Russian President said he was ready to discuss a way out of the Ukrainian crisis and called on
separatists in east Ukraine to postpone a May 11 referendum on the status of the mostly
Russian-speaking region. Buying on declines in the WTI for small targets advised today.

Global market analysis
A bag full of events took place in the financial markets on yesterday and its impact is now
visible in most of the asset classes. The Fed chief Ms. Yellen talks about further reduction of
monetary stimulus as the economy recovers while the concern remain as the labor market is
still unhealthy.

Crude Oil Commodity Market we saw unexpectedly decline in the crude stocks and marginal
rise in the gasoline stocks. However, market reacted onto the positive note which eventually
drove oil prices higher. We reiterate the fact that the fall in production, decline in imports and
refiners refining crude to gasoline anticipating future demand may have also drove oil prices
higher. Meanwhile, US market posting a higher close followed by Asian markets trading positive
this morning while Chinese data coming surprisingly better may keep the WTI oil prices
elevated today. Nonetheless, it may remain cautious during the day as in the other side easing
tension in Ukraine possibly keep Brent lower. So, for the day we see WTI to trade marginally
higher and recommend buying from lower levels. Economic data that may spin the market: BOE
and ECB announcing interest rate and the US jobless claims number.

Commodity Market Tips
Buy Crude Oil Mcx May near 6055 sl 6005 Tgt 6080
Sell Gold Mcx Jun near 28600 sl 28780 Tgt 28400