Agri Business

Spot rubber remains unchanged

Aravindan Kottayam | Updated on July 03, 2021

No active buyers or sellers in the market

Spot rubber continued to remain neutral on Wednesday. RSS4 closed unchanged at ₹169.00 per kg according to traders and the Rubber Board. The grade was quoted unchanged at ₹164.00 per kg by dealers. There were no active buyers or sellers in the market during closing hours and it ended the day in an impasse amid scattered transactions.

Although the daily new Covid-19 cases are on a decline since the second week of June, we still have nearly 0.9 million active cases as of mid-June. The Indian economy is largely driven by the micro small and medium enterprises (MSME). The MSME sector contributes more than 30 per cent to the country’s GDP and employment generation.

The long periods of recurrent lockdowns have left many units in this sector bankrupt or severely challenged by the inadequacy of funds and lack of financing options, reports said. India’s GDP contracted 7.3 per cent during the fiscal year ended March 2021, according to the estimates released by the government on 7 June.

In futures, most active June delivery improved 1.36 per cent from Tuesday’s settlement price to close at ₹168.00 per kg with a volume of 47 lots on the Multi Commodity Exchange (MCX). Technically, the moving averages and momentum oscillators give a strong buy signal and commodity is likely to regain strength in the days ahead.

The natural rubber contract for the September delivery was up 2.3 per cent from previous day’s settlement price to close at 12,935 Yuan (₹148,336.05) a tonne with a volume of 4,92,351 lots in day time trading on Shanghai Futures Exchange (ShFE). The rally had been ridden by a weak dollar. The dollar lost ground following a statement by the US Federal Chairman ruling out the possibility of a hike in interest rates.

The November delivery gained 0.09 per cent to close at 234.3 Yen (₹156.85) per kg with a volume of 162 lots on the Osaka Exchange, Japan.

RSS 3 (spot) slid to ₹152.66 (152.70) per kg at Bangkok. SMR 20 improved to ₹122.94 (118.98) and Latex to ₹99.44 (98.31) per kg at Kualalumpur.

Spot rubber rates (₹/kg) were: RSS4:169.00 (169.00); RSS5: 166.50 (166.50); ISNR20: 156.50 (156.50) and Latex (60 per cent drc): 119.50 (119.50).

Call Centre to know about fertiliser recommendations

Growers may contact Rubber Board Call Centre to know about scientific fertiliser recommendations in rubber, including RUBSIS (Rubber Soil Information System). Dr. Annie Philip, Senior Scientist, Rubber Research Institute of India will answer the queries in this regard on 25 June 2021 from 10 am to 1 pm. The Call Centre number is 0481-2576622.

Published on June 23, 2021

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