Spot rubber hits Rs 130/kg

Print this page Posted on : 06-28-2008 by recycleinme.com

Spot rubber made a smart come back on Friday. The domestic supply concerns and sharp gains in global futures fuelled the sentiments of the day. RSS 4 moved up to Rs 130 a kg from Rs 128 a kg as covering groups remained extremely aggressive on the grade during the session. Major manufactures were buyers on sheet rubber up to Rs 128 a kg but they failed to procure the raw material as it was traded much above their preferred levels.

Supply slump

According to sources, exporters were also active in almost all grades chasing the sparse arrivals. ''We expect the market to break the previous life time high as fundamentals strongly support a firm trend ahead'', a trader said.

The July futures for RSS 3 bounced back to ¥350 (Rs.141.07) from ¥342.3, August to ¥350.1 (¥342.9), September to ¥349.7 (¥343.5), October to ¥351.2 (¥344.1), November to ¥352.5 (¥345.5) and December to ¥355.1 (¥347.9) a kg at TOCOM. The grade closed at Rs 139.73 (139.65) a kg at Bangkok spot. Spot prices (Rs per kg) were RSS-4: 130 (128.00) RSS-5: 127.50 (125.50) Ungraded: 125 (124) ISNR 20: 128.50 (127) and latex 60%: 88 (86.50)

Source : Business Line