Physical rubber lost ground on Thursday. The prices fell on an almost panic selling from dealers as the market moved down below the Rs 200 mark once again indicating the fundamental and technical weakness in the commodity.

Reports that China sold some stocks of tyre grade from the country's bonded warehouses to ease inventories might have probably weighed on market sentiment. Earlier it was reported that inventories in the Qingdao bonded warehouse were too high though the exact levels were not disclosed. However, activities in the international markets might slow down in the days ahead as the top consumer China would remain on sidelines ahead of their Lunar New Year holidays which fall during the second half of January.

Sheet rubber nosedived to Rs 195.00 (200.00) a kg according to traders. The grade declined to Rs 198.00 (200.00) a kg both at Kottayam and Kochi as per Rubber Board.

The January series declined to Rs 199.60 (201.07), February to Rs 201.80 (203.51), March to Rs 204.53 (206.88), April to Rs 210.00 (212.10), May to Rs 210.70 (213.00) and June to Rs 209.50 (211.50) a kg for RSS 4 on National Multi Commodity Exchange (NMCE).

RSS 3 (spot) weakened to Rs 179.25 (180.49) a kg at Bangkok. The January futures dropped to ¥ 247.6 (Rs. 169.87) from ¥ 253.0 a kg during the day session but then recovered partially to ¥ 250.0 (Rs 171.54) in the night session on Tokyo Commodity Exchange (TOCOM).

The spot rubber rates/kg were RSS-4: 195.00 (200.00); RSS-5: 192.00 (196.00); Ungraded: 183.00 (189.00); ISNR 20: 189.00 (191.00) and Latex 60 per cent: 108.00 (110.00)

Related Topics
comment COMMENT NOW