Spot rubber rules firm

Print this page Posted on : 08-30-2008 by recycleinme.com

Rubber prices turned steady on Friday. Traders seemed to be hesitant to buy above the life time high as there were reports of an improvement in arrivals at the village markets. RSS 4 closed firm at Rs 142 a kg though the international indices finished in green. The fresh quote from the tyre sector was slightly lower at Rs 141 a kg for sheet rubber. The news on low sheet rubber inventory with the major manufacturers could not produce any visible impact on the day's trading strategies.

"This is a temporary phenomenon which happens every year. At present, growers also do not hold any stock with them due to the lean months. It is expected that the present situation would change once the production picks ups shortly ,'' Mr. Sajen Peter, Chairman Rubber Board told Business Line in reply to a question about the current price situation.

Futures improve

The September futures for RSS 3 improved to ¥342.8 (Rs 138.69) from 339.3, October to ¥335.4 (333.7), November to ¥331.6 (328.9), December to ¥325.4 (323.8), January to ¥322.5 (320.6) and February to ¥320.7 (320) a kg at TOCOM. Its spot firmed up to Rs 131.14 (130.18) a kg at Bangkok. Spot prices were (Rs/kg): RSS-4: 142 (142); RSS-5: 139 (139); ungraded: 134 (134); ISNR 20: 132.50 (132.50) and latex 60 per cent: 81.50 (81.50).

Source : Business Line