Date:22/08/2006 URL: http://www.thehindubusinessline.com/2006/08/22/stories/2006082202770800.htm

Back Spot rubber rules steady

Aravindan

Kottayam , Aug 21

The week opened with a steady tone in spot rubber. The market lacked trading interest as most of the buyers believed that the prices would move down soon, after a favourable turn in weather.

According to an analyst, a slight improvement in production and supply might put further pressure in prices, which failed to improve even amidst peak monsoon.

RSS 4 closed unchanged at Rs 92 a kg both at Kottayam and Kochi with extremely thin volumes.

Futures decline

The rubber futures declined reacting to weak signals from the overseas markets.

The September contract was quoted at Rs 90.50 (Rs 90.63), October contract at Rs 87.25 (Rs 87.31), November at Rs 87.10 (Rs 87.15) and December contract at Rs 87.50 (Rs 87.49) per kg for RSS 4.

Spot prices per kg were: RSS-4: Rs 92 (Rs 92); RSS-5: Rs 89 (Rs 89); ungraded: Rs 86 (Rs 86); ISNR 20: Rs 89.50 (Rs 89.50) and latex 60 per cent: Rs 72.61 (Rs 72.61).