Wednesday, June 21, 2017

Oil & Commodity prices sink

Last month, OPEC and some non-OPEC producers extended a deal to cut 1.8 million barrels per day in supply until March 2018. The increase in U.S. drilling activity and shale production has offset efforts by OPEC and other producers to cut output in a move to prop up the market. Oil prices sank to the lowest level since November as concerns over a steady increase in U.S. production added to fears over a glut in the market. The U.S. West Texas Intermediate crude August contract closed at $42.53 a barrel, while Brent oil for August delivery closed at $44.82 a barrel.

The benchmark RSS4 grade rubber closed at `.122 a kg at Kottayam, while RSS3 grade closed at `.114.18 a kg at Bangkok and Malaysian SMR20 closed at `.89.51 a kg. On National Multi Commodity Exchange July 2017, the futures closed at `.124.70 a kg, August at `.127.38 and September 2017 closed at `.126.85 a kg. Tokyo Commodity Exchange June 2017 futures series closed at ¥197 a kg, July at ¥190.9, August at ¥192.1, September at ¥191.4, October at ¥186.8 and the contract for delivery in November 2017 closed at ¥186.3 a kg. On Thursday, most probably Tocom futures contract for delivery in November 2017 may trade in the positive range of ¥187 & ¥195 a kg.

To read Rubber4U – 1st July 2017 issue:

For 2017-18 Rubber Forecast:

Monday, June 19, 2017