MARKET COMMENTARY
Rising equities, overnight gains in crude oil prices and weak yen pushed up TOCOM rubber futures for the third successive day. The December rubber futures on the bourse added more than 3.5 per cent to hit a one week high on Wednesday. SHFE rubber futures rose as well, moving in tandem with TOCOM rubber futures.
In the local market, on Tuesday, moves were rather range bound. RSS4 grade rubber in the spot market stayed steady near Rs.140 a kg, while on NMCE it was held in tight ranges.
MARKET NEWS
NMCE imposes additional margin (cash) on both long side and short side of July month contract of Rubber with effect from Thursday, 7th July 2016.
Vietnam will export an estimated 427,000 tonnes of rubber in the first half of this year, up 3.1 percent from the same period last year according to country’s General Statistics Office.
According to the Rubber Board, natural rubber production in India declined 2.5 per cent on year-on-year basis in April to 39000 tonnes.
The Rubber Board has started a Call Centre at its Head Office to work as a centralized contact centre for receiving to telephone calls from the public seeking information about the services of the Board and also technical advice regarding cultivation, production, processing etc. of rubber.
Global natural rubber output could rise just 0.3 percent in 2016 from a year ago as drop in yields are seen offsetting expansion in the tapping area, the Association of Natural Rubber Producing Countries (ANRPC) said in a statement. Production from the ANRPC members, which together account for about 92 percent of global output, could rise to 11.07 million tonnes in 2016 from 11.04 million tonnes a year ago, Sheela Thomas, secretary-general of the ANRPC said.
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Geofin Comtrade
