I. Precious Metals
Gold
Gold extended gains, but a slower pace, as the news of interest rates hike by the Federal Reserve had been fully interpreted and digested by the market. The U.S. central bank raised interest rates by an expected 25 basis points for the second time in three months, with officials sticking to their outlook for two more rate hikes this year, instead of three more expected by economists. The dollar weakened, sending bullion higher. But the upward momentum slowed down after sharp gains. Dutch election relief curbed safe haven interest in gold as Dutch center-right Prime Minister Mark Rutte’s win kept geopolitical risks in Europe subdued, and, therefore, gold from rising.
On technical front, the long upper shadow line on chart shows that gold is losing steam after a two-day rally. Gold is expected to consolidate at current level, or pull back in coming sessions. Support and resistance can be found at $1,210 and $1,240 respectively.

Silver
Silver diverged from gold, falling on lack of drivers. On chart, the long upper shadow line indicates signs of mounting short positions. The MACD and momentum index also suggest a bearish tone. Support and resistance can be found at $16.8 and $17.5 respectively.

II. Commodities
Crude Oil
Oil prices slipped on Thursday, as support from a weaker dollar was offset by U.S. crude inventories near record high levels that again raised concerns whether OPEC-led output cuts were starting to drain a global glut. Brent crude ended the session 7 cents lower at $51.74 a barrel, recovering from Tuesday's drop to $50.25, its lowest since Nov. 30 when OPEC announced its supply accord. The price is still nearly $7 below January's post-deal peak of $58.37. U.S. light crude settled 11 cents lower at $48.75 a barrel, but still above the three-month low hit on Tuesday.

Copper
Copper rose for a fifth session on Thursday as stoppages at three of the world's biggest mines raised supply concerns and a weaker dollar made metals cheaper for holders of foreign currencies. Industrial action at Chile's Escondida mine and Peru's Cerro Verde, along with a dispute over mining rights at Indonesia's Grasberg, have resulted in 200,000 tonnes of lost production, Goldman Sachs estimates. The mines together account for 13 percent of global copper supply, the bank says. Three-month copper on the London Metal Exchange closed up 0.7 percent at $5,908 a tonne.

Soybean
U.S. soybean futures rose on modest technical buying, snapping an eight-session decline. However, the soy rally was capped by expectations for a record-large Brazilian harvest and an expansion in U.S. soybean plantings this spring. Chicago Board of Trade May soybeans ended up 3-1/2 cents at $10.01-1/2 a bushel, recovering from a fourth-month low of $9.92 a bushel hit this week. CBOT May soymeal rose $1.7 to $329.3 a tonne on stronger soybeans and higher-than-expected export report. May soyoil closed 0.04 cents higher to 32.26 cents per lb, underperforming soybean and soymeal on dropping export.

Dealing Room, ICBC Beijing Branch
Yang Hui