USD/INR affects the following commodity in India in terms of price..............27.08.2013

USD/INR affects the following commodity in India in terms of price :-

1. Gold
2. Silver
3. Crude.
4. Copper
5. Zinc
6. Lead

If USD/INR increases more from the current level say 73 or 77 then Gold will be around 36000 to 38000, if Gold price in International Market remain same as currently trading @ $1417 per troy ounce. 1 troy ounce = 31.1035 grams. If Gold price increases further from the current level in the near future say up to $1575 - $1650, then Gold Price in India will be around 40000, if USD/INR rallies on up side remain same in the near future like current rally is going on.

For Silver, it can touch 60000 - 65000, if USD/INR increases from the current level as suggested above. Now in International Market currently it is trading @ $24.55 per troy ounce, if it increases from the current level in the near future say $26 - $28 then we will silver silver @ 70000 also if USD/INR rallies remain same like currently is going on.

For Crude, If in International Market,it increases from current level say $115 - $120 and USD/INR rallies remain same as current is going on the crude oil price in Indian terms will be around 8500.

Now on MCX price of Gold is 33555 per 10 grams, day's high @ 33788. Silver @ 56851 per kg, day's high @ 57500. Crude oil @ 7356 per barrel, day's high @ 7486. Copper @ 498, day's high @ 502.30. Means there is no demand of Gold, Silver, Crude and Copper as the price of these commodities are increasing very fast. The reason is only and only USD/INR appreciation because these commodities are international based commodities and international based commodities are always valued in dollars and our exchange rate in terms of dollars is decreasing means to say our purchasing power is decreasing in terms of value of money in international market against dollar , means suppose if someone want to purchase something from international market then he has to pay in dollars but he is having Indian currency so that what he will do he will purchase the dollars by giving Indian currency. Earlier say in Feb 2012, if someone want to buy 1 dollar the he had to pay Rs .49 only means by paying Rs. 49 he can take 1 dollar but now today need to pay Rs. 67.13 to take one dollar means purchasing power efficiency of Indian rupee has decreased much bigger. means to say to buy commodities from international market is very costly in terms of Indian currency because less unit of dollars will have by paying more unit of Indian currency.

Now be ready for petrol, diesel price hike very soon...............27.08.2013

Now be ready for petrol, diesel price hike very soon, because Crude oil has made new high in international market @ $108.13 on NYMEX. Last time it was $109.32 on 19.07.2013 and after that touched $103.62 on 09.08.2013 and now again $108.13. on 24.02.2012 it was $109.77 which was future rate on NYMEX and that date USD/INR rate was @ 49.22, so we calculate crude oil price on that day in Indian currency then it will be $109.77 * 49.22 = 5402 and that day Crude Oil spot price in India was 5310. We are calculating taking future rate of NYMEX because commodity exchange in India takes future price of crude oil on NYMEX for settlement purpose of future contract on commodity exchange in India. But now today Crude Oil price is $108.13 and USD/INR is @ 67.11, means dollar appreciated by +36.34% from 24.02.2012. and if you calculate crude oil price in Indian terms then it will be $108.13 * 67.11 = 7257 and now today on MCX crude oil is trading @ 7344 and day's high @ 7486, so crude oil price hiked by +36%. So clear we can see that there Crude Oil Price in International Market is same like was in Feb 2012 but Dollar appreciated much bigger and this appreciation is affecting the Crude Oil price as per Indian terms. Means to say earlier for 1 Barrel of crude oil, there is need to pay RS. 5402 and now today need to pay Rs. 7344 means has to pay RS. +1942 extra because of dollar appreciation and price of crude oil in international market is still remain same as was in Feb 2012. So there is lot of pressure on oil marketing companies because they are paying more for purchasing crude from international market.