Spot rubber down on Japanese cues

Print this page Posted on : 05-28-2008 by recycleinme.com

The rubber prices turned lower as Japanese futures showed signs of weakness in far months on Tuesday. According to market circles, a non-tyre company bought sheet rubber at Rs 138 and a tyre manufacturer at Rs 137 a kg in the morning session. But later, prices fell back on profit booking at higher levels. RSS 4 slipped to Rs 134.50 from Rs 135 a kg amidst better volumes. The trend was mixed.

Traders hesitant

"Traders who were hesitant to enter the rubber market at lower levels during the past few months join the buyers' queue at higher levels now. No body could predict the final target to be defined by the market itself in the days ahead. But the succeeding fall would be steep and it is an inevitable part of the show. This is the time to be over cautious,'' he said. RSS 3 improved at its June futures to ¥336 (Rs 138.65) from ¥335, while its July futures moved down to ¥334.2 (337.1), August to ¥335.5 (338.2), September to ¥335.9 (339.2), October to ¥338.1 (339.4) and November to ¥341.3 (343) a kg at TOCOM. RSS 3 spot closed at Rs 136.21 (134.31) a kg at Bangkok. Spot prices were (Rs/kg): RSS-4: 134.50 (135); RSS-5: 129 (130); ungraded: 123.25 (124); ISNR 20: 123.50 (123.50) and latex 60 per cent: 85 (85).

Source : Business Line