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Rubber hits a high of Rs 182.5/kg on low supply, global cues

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Newswire18 Kochi
Last Updated : Jan 21 2013 | 3:38 AM IST

Rubber hit a fresh high as the benchmark RSS-4 grade reached Rs 182.50 a kg in the spot markets amid tight supply as well as tracking the trend in key Asian markets of Tokyo and Bangkok, dealers said today.

Sellers holding back stocks hoping prices to rise further and a slowdown in supply due to rains in key growing area of Kerala, which accounts for over 90 per cent of the domestic production, are the key triggers supporting the uptrend in the commodity, they said.

The rubber futures on National Multi-Commodity Exchange of India also traded up on spillover support from domestic spot and overseas markets, traders said.

According to Rubber Board, the RSS-4 grade in Kochi and Kottayam rose to a record high of Rs 182.50 a kg from Rs 181.50.

The benchmark grade had gained 8.6 per cent in the last one month, according to board's data.

The July contract on NMCE, which expires on Jul 15, settled at Rs 18,650 a quintal, up Rs 123 from Wednesday.

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The August futures, which hit the intraday high of Rs 18,094, ended at Rs 17,860 compared with Rs 17,826 in the previous session.

Rubber futures on Tokyo Commodity Exchange firmed up during the day session as the benchmark December contract rose to 276.3 yen a kg (Rs 146.94) from 270.1 yen Wednesday. The July settlement rose to 356 yen from 350.8 yen.

In Bangkok, RSS-3 grade, equivalent of the RSS-4 grade here, rose to Rs 164 a kg from Rs 162.80, according to data provided by the board.

In Kottayam, latex price rose to Rs 127.85 a kg from Rs 127.35.

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First Published: Jul 09 2010 | 12:50 AM IST

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