Spot rubber turns weak

Print this page Posted on : 01-08-2009 by recycleinme.com

Kottayam, Jan. 7

The physical rubber prices turned weak on Wednesday. Declines in futures and the ongoing lorry strike kept the spot market under pressure and the prices fell on buyer resistance rather than selling from dealers or growers. Sheet rubber dropped to Rs 73 from Rs 75 a kg, while the market made all round declines as it appeared to be in a holiday mood owing to Muharram.

Futures dip

RSS 4 weakened at its January contract to Rs 73.35 (75), February to Rs 74.40 (76.14), March to Rs 75.30 (76.45), and April to Rs 76.61 (77.42) a kg on National Multi Commodity Exchange (NMCE).

Rubber futures on the Tokyo Commodity Exchange fell under renewed selling pressure on Wednesday afternoon entirely giving up the morning gains. The market was firm at the opening following the gains in oil and precious metals. But profit booking became dominant towards the morning close. Selling spread further in the afternoon sending all contracts deep into minus territory. RSS 3 declined at its January futures to ¥146.5 (Rs 76.67) from ¥151.3, February to ¥145 (152), March to ¥146.9 (152.3), April to ¥147.9 (152.7), May to ¥148.7 (153.2)and June to ¥148.7 (154.6) a kg on TOCOM.

Spot rates were (Rs/kg): RSS-4: 73 (75); RSS-5: 71 (72.50); ungraded: 68 (70); ISNR 20: 69 (70.50) and latex 60 per cent: 52.50 (52.50).

Source : Business Line