Date:20/07/2006 URL: http://www.thehindubusinessline.com/2006/07/20/stories/2006072002181300.htm

Back Further fall in spot rubber

Aravindan

Kottayam , July 19

Another panic selling from dealers hammered the spot rubber prices to further lows on Wednesday. Lingering losses in overseas markets and the absence of genuine buyers in the domestic trading centres kept the sellers on their toes, sources said.

Most of them were selling the stock bought above Rs 105.00 to restrict heavy losses in a falling market. Sheet rubber RSS 4 fell to Rs 94.50 and Rs 95 a kg from 97.50 and Rs 98.25 a kg respectively at Kottayam and Kochi. Covering groups and purchase agents were buyers at lower levels.

Futures recover

After recording sharp declines in the opening session, rubber futures recovered marginally on NMCE. The August contract was quoted at Rs 95.80 (Rs 95.24), September at Rs 92.73 (Rs 91.85), October at Rs 90.80 (Rs 90.03) and November contract at Rs 88.95 (Rs 88.40) per kg for RSS 4. Physical prices (Rs a kg) were: RSS-4: Rs 94.50 (Rs 97.50); RSS-5: Rs 93 (Rs 96.00); ungraded: Rs 90 (Rs 94.00); ISNR 20: Rs 94 (Rs 96.50) and latex 60 per cent: Rs 77.90 (Rs 78.95).