MARKET COMMENTARY
Sentiments were by and large was on the greener side in Indian natural rubber market on Wednesday. NMCE rubber futures continued its uptrend, rising over one per cent. However, activities in the spot market were lethargic owing to 12 hour harthal called by various trade unions on rise in fuel prices, which affected the overall market activities. Still, RSS4 grade rubber managed to stay firm near Rs.186 a kg.
A mixed trend is being witnessed in the international natural rubber market on Thursday. TOCOM rubber futures inched up after dipping in the previous session while SHFE rubber futures stretched the last day’s losses. Bank of Japan maintaining its stimulus program and upbeat auto sales data from the US probably lend support to the prices.
MARKET NEWS
Protests continues in Thailand over low natural rubber prices in the country. Government sops to farmers fails to show results.
Thai Premier says China agreed to buy natural rubber from Thailand and to set up rubber processing facilities. Both the nations also agrees to set up a joint panel to handle agricultural trade and investment.
Thailand to stop collecting fees on rubber exports until Dec. 31 to help boost local prices, Office of the Rubber Replanting Aid Fund says.
Michelin & Cie plans to relocate a production plant to Thailand and is ready to help boost rubber demand in the Southeast Asian nation, Thailand’s farm minister Yukol Limlamthong says in statement.
China’s National Development and Reform Commission is planning to buy 50,000-60,000 tons of natural rubber for the country’s buffer stocks in the second half of 2013.
Several thousand tonnes of Thai rubber shipments were delayed as a prolonged protest by rubber farmers in Thailand’s southern province of Nakhon Si Thammarat disrupted transportation and logistic systems, exporters says.
TECHNICAL VIEW
RUBBER Oct NMCE
While the sentiments stay positive, successful attempt to break above 18800 with considerable volume may see prices testing 19000-19200 regions. However, fall past 18450 could invite some lower corrective move towards 18350/18100 levels.
TURNAROUND
|
Resistances |
LEVELS |
Supports |
|
18800/18970 |
18600-18100 |
18450/18350 |
|
19060/19250 |
|
18200-18100 |
|
19380/19500 |
|
17950/17800 |
Source: Geojit Comtrade
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