Spot rubber improves on buying

Kottayam, Dec 17

Physical rubber prices showed a better trend on Friday. The gap between the domestic and international prices kept the undercurrent firm and the market moved up on fresh buying and short covering. The unexpected changes in weather have also influenced the sentiments. There were rumours that certain tyre manufacturers were buyers on sheet rubber on early trades.

Among other news, Tokyo rubber futures' most active contract May 2011, struck another record high at ¥ 400.9 a kg on supply concerns as heavy rains disrupted tapping in major producing countries.

Sheet rubber improved to Rs 203 (202) a kg, according to traders. The grade was firm at Rs 202.50 (201) a kg both at Kottayam and Kochi according to Board's official Web site.

The January series improved to Rs 208.85 (208.38), February to Rs 212.66 (211.80), March to Rs 215.85 (214.83) and April to Rs 220.20 (218.12) per kg for RSS 4 on the National Multi Commodity Exchange.

The volumes totalled 8820 lots and open interest 7183 lots. The turnover was Rs 169.42 crore.

The December futures bounced back to ¥ 389.0 (Rs 210.44) from ¥ 386.5 per kg for RSS 3 during the day session and then to ¥ 389.7 (Rs 210.82) in the night session on Tokyo Commodity Exchange (TOCOM).

RSS 3 (spot) moved up further to Rs 213.75 (213.02) a kg at Bangkok.

The spot rubber rates per kg were: RSS-4: Rs 203.00 (202.00), RSS-5: 197.00 (195.00), Ungraded: 193.00 (192.00), ISNR 20: 197.00 (194.00) and Latex 60%: 131.00 (130.00)

(Source: http://www.thehindubusinessline.com/2010/12/18/stories/2010121851911200.htm)