Date:15/06/2007 URL: http://www.thehindubusinessline.com/2007/06/15/stories/2007061501411200.htm

Back Mixed trend in rubber prices

Aravindan

Kottayam June 14 Spot rubber prices showed a mixed trend on Thursday. The market stayed in tune with the gains in international indices during the morning session as most of the sellers stayed on sidelines.

Covering groups and purchase agents lifted the prices initially but sheet rubber fell back at Rs 82 a kg on late trading after hitting an intra-day of Rs 83 a kg both at Kottayam and Kochi lacking genuine buyers at higher levels.

Somehow, most of the grades finished in green though the volumes were narrow.

Futures weak

The rubber futures turned weak on late trading after a better start on NMCE. The June contract weakened to Rs 82.50 (83.06), July to Rs 84.37 (85.13), August to Rs 85.50 (86.32) and September contract to Rs 84.38 (84.83) per kg for RSS 4.

The open interest was 5,593 (7,220) lots with 322 (2,050) lots in June, 3,491 (3,436) lots in July, 1,324 (1,298) lots in August and 456 (436) lots in September. The transactions totalled 1,949 (1,556) lots.

The July contract for RSS 4 slipped to Rs 84.58 against Rs 84.92 a kg on MCX. The July futures for RSS 3 improved to 271.6 Yen (Rs 90.28) from 269.9 Yen a kg on TOCOM. Its spot moved up to Rs 91.97 from Rs 91.57 a kg at Bangkok.

Spot rubber prices were (Rs/kg): RSS-4: 82 (82); RSS-5: 81 (80.50); Ungraded: 79.50 (79); ISNR 20: 80.50 (80) and Latex 60 per cent: 60 (60).