Related Post
MARKET COMMENTARY
NMCE rubber futures inched up while spot prices ruled flat on Thursday. The activities in the spot market were muted owing to a ‘harthal’ announced by the Indian Rubber Dealers Federation, the commodity in the futures market were seen inching up during the afternoon session after the Union Commerce and Industry Minister said that the government was to raise the import duty on natural rubber soon and is considering issuing a notification on the same at the earliest. A rebound witnessed in natural rubber prices in the overseas market by afternoon aided the sentiments too. Meanwhile, presentation of Kerala state budget today may influence sentiments.
On Friday, natural rubber prices in the major TOCOM and Shanghai exchanges were in green after nose diving to three and six month lows respectively. TOCOM rubber futures gained over two per cent buoyed by a robust US economic data and a weaker yen. However, bulked up inventory levels in major warehouses in China and Japan are likely to keep a lid on further price rise.
MARKET NEWS
Import duty on natural rubber to be increased soon in a bid to support the local industry and a notification giving effect to the rise will be issued soon, Commerce and Industry Minister Anand Sharma said on Thursday.
Chinese authorities on Tuesday ordered local warehouses in Qingdao, Shandong province, to clear part of their rubber stocks within 10 days due to safety concerns.
Thailand’s Rubber Estate Organization spent 19.4b baht to buy 194,028 tons of rubber sheet from farmer cooperatives, said Pakdihan Himathongkam, a deputy government spokesman, without giving a time frame.
Malaysia’s natural rubber (NR) production rose by 15.3 per cent to 87,957 tonnes in January from December last year, according to the Statistics Department.
Total vehicle sales in China fell 14 percent from a year earlier to 1.35 million units in February according to the China Association of Automobile Manufacturers.
Crude rubber stockpiles held at Japanese warehouses rose 3.8 percent to 11,363 metric tons on Feb. 28, according to data from the Rubber Trade Association of Japan.
TECHNICAL VIEW
RUBBER Apr NMCE Broad Trend: Weak
Near Term: Slippage past 16100 is likely to induce weakness again in the near term. Prices now require clearing the congestion range of 16850-17050 to continue the positive momentum.
TURNAROUND
|
Resistances |
LEVELS |
Supports |
|
16500/16700 |
17050-16100 |
16200-16140 |
|
16850/16950 |
|
16040/15900 |
|
17050/17200 |
|
15750/15600 |
Source: Geojit Comtrade
Download this report (full content – PDF file) bellow:
