Commodity picks: 7 January, 2019

Soybean prices in Indore are trading at Rs 3,492 per quintal

Cotton

Benchmark cotton variety S6 (Gujarat) is quoting at Rs 20,800 per bale of 170 kg each. At this price Indian cotton has completely lost the export competitiveness, and the import parity has set in for the mills in North. Farmers resistance to sell at lower levels will be met with the absence of demand. While lower crop and government buying at minimum support price (MSP) is supportive but possibility of imports could result in prices going lower. Expect cotton prices to dip to Rs 19,700 or lower per bale in the next couple of weeks.

Soybean

Soybean prices in Indore are trading