Kottayam, April 13
Spot rubber flared up further on Tuesday. According to sources, the prices moved up inspired by the rising rates in the global market and domestic supply concerns. Sheet rubber improved to Rs 163.50 from Rs 162 a kg as traders continued to increase their commitments. The physical market is poised to test higher levels and it is expected to reach Rs 170 soon, an observer said.
Futures improve
RSS 4 firmed up at the April futures to Rs 162.69 (160.99), May to Rs 167.12 (165.87), June to Rs 170.18 (168.75) and July to Rs 169.49 (167.53) a kg on National Multi Commodity Exchange. RSS 3 slipped with the April futures dropping to ¥365 (¥370) (Rs 174.40), May to ¥358.5 (¥359.6), June to ¥352.7 (¥354.5) and July to ¥345.5 (¥347.8) a kg during the day session on Tokyo Commodity Exchange. RSS 3 flared up to Rs 173.67 (171.48) a kg on Singapore Commodity Exchange (SICOM).
Spot prices were (Rs/kg): RSS-4: 163.50 (162); RSS-5: 162 (160.50); ungraded: 160 (159); ISNR 20: 161 (159) and latex 60 per cent: 102 (101.50).
Rubber Nears 20-Month High as Equities Rally Boosts Confidence
April 14 (Bloomberg) -- Rubber advanced to near a 20-month high as an accelerating global economic recovery led by Asia and a stock market rally boosted confidence that demand would increase for the commodity used in vehicle tires.
Futures in Tokyo gained as much as 0.6 percent to 330 yen per kilogram ($3,539 a metric ton), nearing 332.3 yen, the highest level since July 31, 2008, reached yesterday. The price advanced for the third time in four days.
Asian stocks rallied, led by technology shares, after Intel Corp.’s sales forecast beat analysts’ estimates. The Singapore dollar strengthened the most in a year against the U.S. currency and South Korea’s won jumped after government reports showed accelerating economic growth.
“Optimism that economic recovery is gathering pace spurred investors to buy risk assets such as stocks and commodities,” Shuji Sugata, research manager at Mitsubishi Corp. Futures Ltd. in Tokyo, said today by phone.
Rubber for September delivery traded at 329.90 yen per kilogram at 1:57 p.m. local time on the Tokyo Commodity Exchange.
The MSCI Asia Pacific Index gained 0.7 percent to 128.25 at 1:59 p.m. in Tokyo. The Monetary Authority of Singapore revalued its currency, sending it 1.1 percent higher against the dollar to 1.3778, as the government said the economy will expand as much as 9 percent this year.
Thai Output
Rubber futures have advanced 19 percent this year as global economies recovered from the worst postwar recession, boosting demand for the commodity. A seasonal decrease in output in Thailand, the world’s largest producer, also increased prices, Sugata said.
Thailand is in a low production period from February to April, known as wintering, when rubber trees shed their leaves and latex output slows.
Passenger car sales in China, the world’s largest rubber consumer, surged 63 percent in March as government stimulus policies helped boost demand in the biggest vehicle market.
Sales of cars, multi-purpose vehicles and sport-utility vehicles rose to 1.26 million units last month, China Association of Automobile Manufacturers said on April 9. First- quarter sales jumped 76 percent to 3.52 million units, according to the association.
September-delivery rubber on the Shanghai Futures Exchange added 0.8 percent to 25,565 yuan ($3,745) a ton at the 11:30 a.m. local time break.
No comments:
Post a Comment