Date:25/05/2006 URL: http://www.thehindubusinessline.com/2006/05/25/stories/2006052503181300.htm

Back Spot rubber zooms to new high

Our Correspondent

Kottayam , May 24

The domestic rubber prices explored glittering highs on Wednesday. Covering groups lifted the market to challenging levels driven by yet another sharp upsurge in the overseas indices. Certain tyre majors offered Rs 100 a kg for sheet rubber.

RSS 4 moved up sharply to Rs 102.50 and Rs 103a kg respectively at Kottayam and Kochi from Rs 100.50 on Tuesday. According to dealers from Kochi, there were no quantity sellers at the quoted levels and the trading volumes were dull.

Futures surge

The rubber futures surged ahead on the NMCE. The near-month June contract was quoted at Rs 105.39 (Rs 103.40), July at Rs 107.90 (Rs 105.44), August at Rs 105.10 (Rs 102.62) and September contract at Rs 103 (Rs 100.87) per kg for RSS 4. The June futures for RSS 3 went up to 291.2 yen a kg from 283.2 yen at TOCOM. The grade closed better at Rs 117.29 against Rs 114.84 a kg at Bangkok.

Spot prices (RS a kg) were: RSS-4 - Rs 102.50 (Rs 100.50); RSS-5 - Rs 98 (Rs 97.50); ungraded - Rs 95 (Rs 94); ISNR 20 -Rs 95.50 (Rs 95); and latex 60% (per ltr) - Rs 73.50 (Rs 73).