MARKET COMMENTARY
As the week’s session culminates, natural rubber in the major overseas market is seen trading steady to positive. On Friday, SHFE rubber futures bounced back after falling last day, while on TOCOM, rubber futures traded rather flat following an initial spike. Weak yen, rise in crude oil prices along with firmer SHFE rubber futures probably improved the sentiments as TOCOM exchange reopened today after national holiday.
In the Indian market, natural rubber edged down on Thursday. Weak cues from the major overseas natural rubber market, rising stocks along with lacklusture demand weighed on overall market sentiments. Quotes for RSS4 grade rubber inched down to Rs.115.50 a kg and NMCE rubber futures lost nearly one percent.
MARKET NEWS
Crude rubber inventories at Japanese ports stood at 7,318 tonnes as of Oct. 20, down 3.7 percent from the last inventory date, data from the Rubber Trade Association of Japan showed.
According to the Rubber Board, India’s natural rubber production rose 20 per cent in September to 60000 tonnes on year on year basis.
Natural rubber imports by China in September declined 36.52 per cent to 188716 tonnes.
India has been unanimously elected as Chairman of the Association of Natural Rubber Producing Countries (ANRPC). Representing Govt. of India, Mr. A. Ajith Kumar IAS, Chairman, Rubber Board took charge from Royal Govt. of Cambodia in the 39th Assembly Session of ANRPC held at Guwahati. The tenure of Chairmanship will be for one year. The Vice-Chairmanship is for Vietnam.
According to the Association of Natural Rubber Producing Countries, natural rubber supply will fall short of demand from 2020 onwards.
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Geofin Comtrade
