Tuesday, September 18, 2012

Rubber advances on improvement in demand


Natural rubber prices in India are likely to extend further gains on strong demand and as farmers curtail supplies, hoping prices would rise further. Everyday prices are rising. It is giving growers reason to hold back supplies. Many growers expect the price to cross `.200 per kg. Supply of commodities has become a major concern among local downstream commodity based industry players.

Tyre makers kept lower inventory as prices were falling and now due to sudden rise in prices they want to restock inventory, but suppliers are not ready to supply at the current level. Due to rise in international prices, even imports are slowing down. Tyre manufacturers have signed fewer deals for September delivery, as prices were falling.

Today RSS3 grade closed at `.172.63 a kg at Bangkok. RSS4 grade rubber ruled firm in the Indian market buoyed by a jump seen in natural rubber prices in the major international market and most probably will close around at `.195 a kg. In the domestic futures market, the October series may close at `.192, November at `.191 and December at `.192 a kg on the National Multi Commodity Exchange. On TOCOM rubber futures, for October series were trading at ¥250 a kg, November at ¥251, December at ¥252.4, January at ¥254.4 and February at ¥256.5 a kg., in current trading session for 19th September.

Read lot more in Rubber4U – 1st October 2012 issue

No comments:

Post a Comment