Commodities

Cardamom auctions witness a speculative trend in markets with lower production

V Sajeev Kumar Kochi | Updated on January 07, 2020 Published on January 07, 2020

Since the harvesting is coming to an end, traders pointed out that any further sale would be possible only with the current stock available for the trade.   -  Getty Images/iStockphoto

A speculative trend on lower production is likely to impact cardamom auctions at Bodinayakanur on Tuesday, as traders are expecting a stable and steady market.

Since the harvesting is coming to an end, traders pointed out that any further sale would be possible only with the current stock available for the trade.

As the prices settled lower due to a drop in arrivals, the market is likely to remain steady than it was in the previous week. There is going to be a lean period for the next three months after January, and the fresh crop would hit the auctions in May.

Right now, there has been a speculative trend in the market especially with the lower production and a hot climate which is prevailing across the growing regions. Exporters are also not active in the current higher price scenario, traders added.

The quantity offered in the morning session was 38 tonnes and the auctioneers were Vandanmedu Green Gold Cardamom Producer Company. In the evening trade, the auctioneers Idukki Dist Traditional Cardamom Producers Company offered 63 tonnes.

Trade analysts Acumen Capital Markets said that the most active cardamom February futures rose by 2.6 per cent or Rs105.10 to Rs4079 when last traded on Monday.

Cardamom February futures price is showing a bullish trend on the daily chart.

Published on January 07, 2020
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