The pepper market on Friday recovered on good buying support amid limited availability despite concerted efforts to pull it down by spreading bearish reports, according to trade sources.
The market touched the lowest price of the day at the opening itself, then recovered and traded with high volatility. In the mid-forenoon session all the deliveries touched the highest price and then witnessed high volatility and dropped to the lowest to recover in the afternoon and closed all contracts above the previous day's closing.
As banks were in their half-yearly closing today, there were no activities on the spot. Therefore, there was no selling pressure. On the exchange some buying took place. However, there was allegedly “a calculated move to pull the market down by showing high selling depth on the screen and when buyers came up to buy it was removed,” market sources told Business Line .
Indian parity is the cheapest in the world at $7,800 a tonne (c&f) for Europe and $8,100 a tonne (c&f) for the US and that in turn has resulted in good orders coming to India. October contract on the NCDEX increased by Rs 275 to close at Rs 35,565 a quintal. November and December went up by Rs 200 and Rs 40, respectively, to close at Rs 36,195 and Rs 36,700 a quintal.