Spot rubber prices decline

Print this page Posted on : 01-20-2009 by recycleinme.com

Kottayam, Jan. 19

Spot rubber prices declined on Monday. According to observers, the rates fell mainly on rumours that the tyre sector might sideline the market during the days ahead. Sharp declines in domestic futures fuelled the fall further and sheet rubber moved down to Rs 68.50 from Rs 70 a kg on selling from dealers amidst buyer resistance. The volumes were moderate.

Futures slip

RSS 4 declined further at its February futures to Rs 69.11 (71.98), March to Rs 70.15 (72.97), April to Rs 71.62 (74.43) and May to Rs 72.99 (75.25) a kg on National Multi Commodity Exchange (NMCE).

Rubber futures on the Tokyo Commodity Exchange extended the gains at the opening attracting fresh buying and short covering followed by yen's weakness. But selling dominated later, reflecting yen's renewed strength against dollar and declines in oil futures. RSS 3 ended in a mixed trend quoting its January contract at ¥138 (Rs 74.09) from ¥138.8, February at ¥139.7 (141), March at ¥144.1 (144.1), April at ¥148 (146.5), May at ¥150.4 (148.9) and June at ¥152.2 (150.4) a kg on TOCOM. RSS 3 (spot) weakened to Rs. 75.29 (75.50) a kg at Bangkok.

Spot rates were (Rs/kg): RSS-4: 68.50 (70); RSS-5: 67 (69); ungraded: 66 (67); ISNR 20: 67 (68) and latex 60 per cent: 61.50 (61.50).

Source : Business Line