The Hindu Business Line : Spot rubber prices decline

Kottayam, June 28 Spot rubber resumed the downward journey on Thursday. The domestic markets were hit hardly as the Japanese trendsetter failed to hold on for the third day in a raw surrendering the early gains on late selling. On the physical side, RSS 4 declined to Rs 75 a kg from Rs 75.75 and Rs 75.50 a kg respectively at Kottayam and Kochi. Meanwhile an analyst told Business Line that the sellers were forced to be on their toes due to the sustained buyer resistance induced by the major consuming sectors. The pressure from the unhealthy stock piles was yet another matter of concern, he added.

Futures weak

The domestic rubber futures stayed in tune with the global mood adding moderate losses to all its contracts. The July contract on NMCE weakened to Rs 75 (76.27), August to Rs 75.61 (77.22), September to Rs 75.71 (77.14) and October to Rs 75.90 (77.27) per kg for RSS 4. The volumes improved to 3,112 (2,846) tonnes. The July contract for RSS 4 fell further to Rs 75.05 (76.28) a kg on MCX. The open interest totalled 6,042 (5,904) lots with 2,616 (2,631) lots in July, 2,025 (1,907) lots in August, 888 (864) lots in September and 513 (502) lots in October on NMCE.The July futures for RSS 3 moved down to 258.3Yen (Rs 85.75) from 263.1 Yen a kg at TOCOM. The grade declined by 89 paise to Rs 89.14 a kg at Bangkok. Physical prices were (Rs/kg): RSS-4: 75 (75.75); RSS-5: 73 (73.75); ungraded: 71 (72); ISNR 20: 72.50 (73) and latex 60 per cent: 56.85 (57.35).