UMBAI (Rubber Country): Rubber prices at India’s National Multi Commodity Exchange (NMCE) was up by 2.02%. Rubber for August delivery is now trading around Rs 19,050-19,437 per qtl levels.
On Tuesday trade, August rubber rose to a high of 19,437 Rs/qtl as of 11.32 A.M IST and is expected to trade positive in near term. Support is now seen at 18800, 18700 levels and resistance at 19100 & 19270, analyst said.
Spot markets gained on increasing demand from investors. In Kottayam spot, rubber prices were quoted Rs 173 per kg on Monday. High rainfall activities at Kerala coast are impacting future prices.
Indian Rupee has appreciated by 0.91% to 60.14 against dollar. The gains were driven by large unwinding of long-dollar trades in futures and spot market.
Consumer price inflation in China rose more-than-expected last month. National Bureau of Statistics of China stated that Chinese CPI rose to an annual rate of 2.7%, from 2.1% in the previous month.
Strength in Indian rupee capped further uptrend in rubber futures. We expect NMCE natural rubber futures to trade positive note.
Source: Rubber Country
