Monday, August 13, 2012

NR prices weakening due to lack of demand


Tokyo rubber futures currently trading at low level of ¥203 a kg. for 14th August session, on concerns about weakening demand for the commodity. China's factory output growth slowed unexpectedly last month to its weakest in more than three years and demand for automobiles slowed further in July from the previous two months. Supply in Thailand has been picking up smoothly in the last couple of months since farmers resumed tapping after the end of dry season, another factor putting a downward pressure on prices.

According to reports, the investors in Europe have restricted their investment activities over riskier assets on the rising worries over Euro zone crisis. Today, RSS4 grade rubber prices declined to `.172.50 per kg at Kottayam. In the domestic futures market, the August series is currently trading at `.172.95, September at `.164.10, November at `.161.99 and December at `.163.80 a kg on the National Multi Commodity Exchange. On TOCOM rubber futures, August series closed at ¥206 per kg, September at ¥206.7, December at ¥212.5 and January 2013 at ¥213.9 per kg.

Read lot more in Rubber4U – 15th August 2012 issue

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