German weak Industrial data , spread the panic

Industrial orders in Germany fell unexpectedly as Europes biggest economy feels the spill-over effects of the debt crisis in its main trading partners. Domestic orders declined by 1.9 percent in the two-month period while foreign orders were down 2.7 percent. The eurozone economy contracted unexpectedly sharply this month, all but confirming that the region has fallen into recession, with France and Germany reeling from the effects of the debt crisis hitting much of southern Europe. It is the biggest drop in production since January 2009, when the global economy was gripped by the financial crisis. Chinese manufacturing data set the negative tone, as the HSBC preliminary purchasing managers' index confirmed a slowdown in the world's second-largest economy. Figures below 50 indicate a contraction. Contributing to the gloom were weak euro-zone figures, which added weight to fears that the region is in recession. The Market euro-zone purchasing managers' composite output index fell to a three-month low of 48.7 in a preliminary reading for March, down from 49.3 in February. The rupee surged to its highest in three weeks on Wednesday as capital inflows picked up ahead of a large share sale in state-run Oil and Natural Gas Corp. The government aims to raise at least $2.5 billion by selling a 5% holding in the country's biggest oil producer through an auction on Thursday. US unemployment data at four-week average of applications, a less volatile measure, dipped to 355,000, matching a four-year low. The Labor Department Thursday that weekly applications dropped 5,000 to a seasonally adjusted 348,000. That's the lowest level since March 2008, just months into the Great Recession. Nearly 7.3 million people received benefits in the week ending March 3, the latest data available. That's about 140,000 fewer than the previous week. The Swiss National Bank left its minimum exchange rate floor of 1.20 per euro unchanged, and because of that USD retreated from a seven week high against the Swiss franc. The central bank also said that there are increasing signs that the Swiss economy is stabilizing and doubled its forecast for economic growth for this year to "around 1.0%. We expect Swiss bank will further depreciate the CHF against the Euro. Hence this might further add pressure on the bullions prices Crude oil inventories rose 1.75 million barrels to 347.45 million barrels. ude inventories were expected to have risen 1.7 million Barrels. Iran's oil minister said the country's oil exports were running unchanged from last year despite pressure on buyers to reduce purchases in the face of international sanctions. Saudi Arabia is committed to fill any "perceived or real" oil supply gap. This might further add pressure on the Crude price. But looking at the longer run we expect crude might touch $110 bpd Fewer Americans sought U.S. unemployment benefits last week, adding to signs that the job market is strengthening. Applications for unemployment aid dropped 14,000 to a seasonally adjusted 351,000, the Labor Department said Thursday. That matches a four-year low reached last month. The four-week average, which smooths fluctuations, was unchanged at 355,750. When applications drop consistently below 375,000, it usually signals that hiring is strong enough to lower the unemployment rate. Foreign direct investment in China fell for a fourth straight month in February as companies reined in spending amid a slowdown in the worlds second-biggest economy and the prolonged

European debt crisis. Investment declined 0.9 percent to $7.73 billion last month from a year earlier. U.S. companies are becoming less confident in business prospects in China amid rising costs and difficulties hiring and retaining skilled labor. But base metals are gaining strength because of the positive US economic figures. But we dont expect any significant move in the prices. For the copper the limited upside move would be till 440 levels and for Nickel 984