I. Precious Metals
Gold
Gold prices pared gains after touching a two-week high on Thursday, after Republicans in the U.S. House of Representatives unveiled legislation to overhaul the U.S. tax system. The dollar fell and U.S. 10-year Treasury yields slid to two-week lows after House Republicans proposed to slash the corporate tax rate to 20 percent from 35 percent and reduce the number of tax brackets for individuals. Spot gold was up 0.2 percent at $1,276.79 an ounce, the highest since Oct. 20.
The pace of interest rate hike would pick up of the tax plan can be passed and successfully boost economic growth. The bill, representing what would be the largest overhaul of the U.S. tax system since the 1980s, called for slashing the corporate tax rate to 20 percent from 35 percent, cutting tax rates on individuals and families and ending certain tax breaks for companies and individuals.
Congressional passage of this legislation that would affect nearly every U.S. company and family was far from certain, and some business groups quickly came out against it. Contentious provisions will test Republicans, who control the White House and both chambers of Congress but have been unable to deliver any major legislative achievements for Trump since the businessman-turned-politician became president in January.
Technical front, gold is expected to extend rebounding with resistance at $1,280. A successful breakthrough is likely with the next resistance at the key mark of $1,300.

Silver
Silver was down 0.2 percent at $17.09 an ounce, after touching $17.24, its highest since Oct. 20. On chart, silver, with support at the 20-day moving average of $17, is consolidating at recent highs. A further breakthrough will break the resistance of $17.5 formed since October. The support at $16.5 to $17 is solid.

II. Commodities
Crude Oil
Oil prices edged up on Thursday, as the outlook remained upbeat as OPEC-led supply cuts have tightened the market and drained inventories. Brent crude settled up 13 cents, or 0.2 percent, at $60.62 per barrel. The benchmark hit $61.70 on Wednesday, its highest intraday level since July 2015. The contract is up by more than a third from its 2017-lows in June. U.S. crude ended 24 cents higher at $54.54, almost 30 percent above its 2017-lows in June.
Saudi Arabian Energy Minister Khalid al-Falih said supply and demand balances were tightening and oil inventories falling, while compliance with the OPEC-led pact to curb supplies had been "excellent". Iraq's oil minister said that OPEC's second-largest producer supports keeping curbs on global oil supply to bolster prices, adding $60 per barrel would be an acceptable target price for his country. The energy ministers of Russia and Saudi Arabia, the world's top oil producers, were expected to travel to Tashkent, Uzbekistan.

Copper
LME copper finished little changed at $6,929 a tonne, climbing along the 20-day moving average for correction. On the weekly chart, technical indicators still point to downward pressure with the 20-week moving average at $6,460. Investors shall closely watch the support of the 5-week moving average at $6,860 and 10-week moving average at $6,730. Copper prices are likely to hit the aforementioned support as the dollar firms.

Soybean
Chicago Board of Trade soybean futures rose for a second straight day on Thursday and hit a two-week high. CBOT January soybeans settled up 8 cents at $9.99-1/4 per bushels after briefly rising above $10 a bushel for the first time in two weeks.
Private analytics firm Informa Economics trimmed its U.S. 2017 soybean yield estimate to 49.7 bushels per acre, from 50.0 bpa previously, and pegged the soybean harvest at 4.447 billion bushels, compared with its October estimate of 4.474 billion.
CBOT December soymeal ended up $3.80 at $317.40 per short ton and December soyoil fell 0.04 cent at 34.86 cents per pound. The USDA reported weekly soymeal export sales at 224,500 tonnes (old and new crop years combined), and weekly soyoil sales at 27,000 tonnes. The trading volume of soybean, soymeal and soyoil was expected at 177,185 lots, 75,411 lots and 122,193 lots respectively.

Dealing Room, ICBC Beijing Branch
Lv Yan