Rubber spot flat on thin trade

Rubber spot was flat on Monday on thin trade as buyers mostly took a cautious approach, dealers said. On the National Multi Commodity of Exchange of India, all rubber futures, except April contract, were down on speculative pressures. Pepper spot was flat, while futures made modest gains on buying at lower levels, they said.

RUBBER
Rubber is likely to stay in a narrow band Tuesday as buyers and sellers are likely to stay on the sidelines, dealers said. Rubber spot and futures markets may pick up momentum only after New Year holiday, they added.

New Year holidays for next three days in overseas markets like Tokyo will also keep activity thin here, they said. Latex in Kottayam was flat at Rs 60.50 per 1 kg.

PEPPER
Pepper was flat for both garbled and un-garbled grades on Monday due to weak demand from buyers, dealers said. Pepper futures, however, ended with marginal gains compared with Saturday's close due to buying at lower levels as well as short covering.

On National Commodity and Derivatives Exchange, active February contract hit a high of Rs 13,528 per 100 kg, but then slipped to Rs 13,390 before closing at Rs 13,525, up Rs 34 from Saturday.

Pepper futures may stay in a thin band Tuesday due to low activity as exporters and domestic buyers are taking a wait-and-watch approach, dealers said. Volumes of February contract on NCDEX came down to 5,623 tn on Monday from 5,905 tn, while open interest positions moved up to 9,102 compared with 8760 Saturday.

Near month January contract also made modest gains, closing at Rs 13,300 per 100 kg compared with Saturday's close of Rs 13,274, while volume slipped to 1,247 tn from 1,478 tn.

January contract open interest position was at 5,653 on Monday from 5,752. On NMCE, February contract moved up to Rs 13,435 per 100 kg compared with Rs 13,393 on Saturday.