I. Precious Metals
Gold
Gold prices eased on Thursday as the dollar advanced in choppy trade and on expectations that the U.S. Federal Reserve will further raise interest rates. New orders for U.S.-made capital goods rose more than expected in November. Other data on Thursday showed that third-quarter U.S. economic growth beat expectations, but the number of Americans applying for unemployment aid hit a six-month high last week and U.S. consumer spending increased modestly in November. Spot gold was down 0.27 pct at $1,128.4 per ounce, and most-active U.S. gold futures for February delivery settled down $2.5, or 0.22 percent, at $1,130.70 per ounce. Despite the current retreat in the dollar, traders have already positioned themselves for a neutral to lower end of the year for gold, with the next support level in the $1,123 area, as the focus remains on the hawkish message of the Fed, which signaled three rate increases in 2017. SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.43 percent to 824.54 tonnes on Wednesday. Holdings are down over 12 percent since November.
On technical front, gold closed in the negative territory for three sessions in a row, but failed to cross below the support of $1,125, remaining rangebound at lows. The RSI index continued to point to oversold range, suggesting mounting correction demand. A rebound is expected in the near term with resistance likely at $1,150.

Silver
Silver tracked gold, down 0.94 percent at $15.78 an ounce. Technically, the MACD index pointed to heavy bearish tone with further downward momentum. The level at $15.8 is expected to provide support in near term, but is more and more likely to be breached. The resistance can be found at $16 for the time being.

II. Commodities
Crude Oil
Oil prices rose in subdued trading on Thursday, supported by strong U.S. economic data and optimism that crude producers would abide by an agreement to limit output. U.S. West Texas Intermediate crude settled up 46 cents, or 0.9 percent, to $52.95 a barrel. Brent futures for February delivery settled up 59 cents to $55.05, or 1.1 percent. Trading overall was quiet as desks were winding down for the holidays. Overall volume for front-month crude futures was about 350,000 contracts, less than two-thirds of the total daily average over the last 200 days. New orders for U.S.-made capital goods rose more than expected in November due to strong demand for machinery and primary metals, suggesting some of the oil-related drag on manufacturing was starting to fade. The Organization of the Petroleum Exporting Countries and non-OPEC oil producers reached a deal to cut output by almost 1.8 million bpd from Jan. 1. That has helped boost prices in recent weeks, though it will be some time before it is clear whether countries are sticking to those commitments.

Copper
Copper prices fell to one-month lows on Thursday as the generally higher dollar and a sharp drop in imports by top consumer China fuelled worries about demand. Benchmark copper on the London Metal Exchange closed up 0.1 percent to $5,519 a tonne from an earlier session low at $5,419.5, its lowest since Nov. 18. However, prices are up more than 15 percent so far this year and on track for the first annual rise since 2012. Chinese measures to stimulate its economy have helped to increase industrial metals prices this year. However, after the U.S. Federal Reserve raised its lending rates on Dec. 14 and adopted a more hawkish stance on monetary policy next year, industrial metals have come under pressure as funds cut bets on higher prices.

Soybean
U.S. soybean futures fell on Thursday as forecasts for rain in Argentina dampened concerns about dryness hurting production there. Most-active March soybeans fell 13 cents to $10.04 a bushel. The contract traded as low as $10.03, its lowest since Nov. 18. Rains in dry areas of Argentina, a major exporter, pressured soybeans as traders projected South America will stay on track to produce a bumper harvest. Earlier this month, dryness in Argentina fuelled worries about planting problems. Argentina's agriculture ministry raised its projection for the country's soybean planting area to 2,030 acres from a previous estimate of 2,020 acres. The U.S. Department of Agriculture reported weekly sales at 1.8 million tonnes, above analysts' expectations for 1.1 to 1.4 million.

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