Date:28/03/2007 URL: http://www.thehindubusinessline.com/2007/03/28/stories/2007032801231100.htm

Back Spot rubber improves

Aravindan

Kottayam, March 27

Physical rubber prices improved on Tuesday. Covering groups resumed their buying after a day's break as the overseas markets were almost steady with slight positive inclination. RSS 4 recovered to Rs 94 a kg from Rs 93.50 and Rs 93.75, respectively at Kottayam and Kochi. Sellers kept back waiting for the prices to improve and hence the volumes were dull. The rubber futures were in a bearish mood.

The April contract for RSS 4 moved down to Rs 94 from Rs 94.45 a kg on MCX. On NMCE, the April contract for the grade was slightly better at Rs 93.70 (93.59), while the remaining contracts finished in the red. The May contract weakened to Rs 97.30 (97.59), June to Rs 100.30 (100.58) and July contract to Rs 101.90 (102.72) a kg for RSS 4.

The open interest stood at 12,394 (12,506) tonnes with 4,725 tonnes in April, 5,266 tonnes in May, 1,973 tonnes in June and 430 tonnes in July. The volumes were 1,405 (2,796) tonnes. RSS 3 (spot) closed at Rs 100.14 against Rs 100.12 a kg at Bangkok. The April futures for the grade slipped to 270.5 yen (Rs 98.64) from 271 yen a kg at TOCOM. Spot rubber prices were (Rs/kg): RSS-4: 94 (93.50); RSS-5: 93 (92.50); Ungraded: 92 (91.50); ISNR 20: 92.50 (92) and Latex 60 per cent: 64.20 (64.20).