The Hindu Business Line : Pepper futures rebound

Kochi May 17 Pepper futures market, which has been witnessing high volatility due to alleged game plan by some cartels, on Thursday bounced back even in the absence of spot sellers.

The prices have been wildly fluctuating in the futures market without any reasons when the fundamentals are strong in the world market, market sources told Business Line. They alleged that some operators having large short positions for overseas and domestic front were trying to manipulate the market, which in fact is giving wrong signals to the buyers overseas.

Even those who had shown interest to buy are also moving away looking at the market trend here, they said.

Vietnam was reportedly offering 500 GL at $3,850 a tonne (fob) while 550 GL at $3,950 a tonne (fob) and white pepper at $5,450 a tonne (fob).

Brazil was also reportedly offering B Asta at $3,950-4,000 a tonne (fob). Indonesia was firm.

Turnover up

May contract on NCDEX moved up by Rs340 a quintal on Thursday to close at Rs 14,400 from Rs 14,060 on Wednesday. The increase in other contracts was from Rs 258 to Rs 450 a quintal.

On NMCE, May contract increased by Rs 353 a quintal to Rs 14,680 from Rs 14,337. The rise in other contracts was from Rs 312 to Rs 467 a quintal.

The total turnover on NCDEX increased by 5,068 tonne to 38,968 tonne while on NMCE it moved up by 192 tonne to 3,545 tonne.

The total open interest on NCDEX declined by 171 tonne to 27,451 tonne. May position dropped by 79 tonne to 1,944 tonne while June by 484 tonne to 17,179 tonne. July increased by 369 tonne to 4,669 tonne.

Spot prices also in tandem with the futures market trend moved up by Rs 200 a quintal to close at Rs 14,000 (un-garbled) and Rs 14,600 (MG 1) on Thursday.