Spot rubber declines further on buyer resistance

Print this page Posted on : 07-22-2011 by recycleinme.com

Kottayam, July 21

Domestic rubber prices remained under pressure on Thursday. In the spot, prices weakened further on buyer resistance. Declines in the Japanese futures and another weak closing on the National Multi Commodity Exchange weighed on the market, as most of the traders stayed back letting the prices to seek further lows. The news on imports continued to cast its shadow over the sentiments. Among other reports, the key TOCOM rubber futures surrendered on profit taking ahead of the emergency European Summit in Brussels after hitting a six week high on Wednesday.

Sheet rubber dropped to Rs. 213 (214) a kg, according to traders. The grade moved down to Rs. 213.50 (214.50) a kg both at Kottayam and Kochi, as quoted by the Rubber Board.

The August series weakened to Rs. 208.50 (213.01), September to Rs. 208.41 (211.92), October to Rs. 209.50 (212.30), November to Rs. 210.55 (214), December to Rs. 211 (214) and January to Rs. 210.50 (216.71) a kg for RSS 4 on the NMCE.

The July futures declined to ?377.6 (Rs 213.08) from ?381.9 a kg during the day session and then to ?377.2 (Rs 212.85) in the night session on the Tokyo Commodity Exchange. RSS 3 (spot) slipped to Rs. 216.14 (216.30) a kg at Bangkok.

Spot rates were (Rs/kg): RSS-4: 213 (214); RSS-5: 210 (211); ungraded: 206 (208); ISNR 20: 210 (211) and latex 60 per cent: 139 (139).

Source : Business Line