Spot rubber declines further

Print this page Posted on : 01-09-2009 by recycleinme.com

Kottayam, Jan. 8 Spot rubber fell further on Thursday. The ongoing lorry strike and the declines in domestic and international futures continued to hammer the domestic sentiments. Sheet rubber weakened to Rs 70.50 from Rs 73 a kg on moderate selling from dealers and growers amidst buyer resistance.

FUTURES SLIP

RSS 4 slipped further at its January contract to Rs 73 ( 73.35), February to Rs 73.70 ( 74.46), March to Rs 74.95 ( 75.23), and April to Rs 76.29 ( 76.77) a kg on National Multi Commodity Exchange ( NMCE).

Rubber futures on the Tokyo Commodity Exchange extended losses on long liquidation followed by sharp declines in oil and precious metals futures. But short covering became dominant later in midmorning following oil futures’ bounce back from the initial losses. But sentiments weakened again in the afternoon. The January futures for RSS 3 declined sharply to ¥ 139 ( Rs 73.43) from ¥ 146.5, February to ¥ 139.3 ( 145), March to ¥ 141.4 ( 146.9), April to ¥ 142.6 ( 147.9), May to ¥ 142.9 ( 148.7) and June to ¥ 143.1 ( 148.7) a kg on TOCOM. But its spot improved marginally to 74.56 ( 74.44) a kg at Bangkok.

Spot rates were ( Rs/ kg): RSS- 4: 70.50 ( 73); RSS- 5: 69 ( 71); ungraded: 67 ( 68); ISNR 20: 68 ( 69) and latex 60 per cent: 52.50 ( 52.50).

Source : Business Line