Spot rubber rules steady

Spot rubber rules steady


Kottayam, Nov. 20

The physical rubber prices finished unchanged on Saturday. The market lost its direction though the domestic futures finished in green with minor variations. Sheet rubber closed steady at Rs 200 a kg both at Kottayam and Kochi. Most of the traders were inactive possibly since the international markets were on weekend holidays and the volumes were extremely low in a comparatively dull trading session.

Futures improve

The December futures improved marginally to Rs 202.92 (202.90), January to Rs 206.26 (205.89), February to Rs 208.52 (208.21) and March to Rs 211.75 (211.18) a kg for RSS 4 on National Multi Commodity Exchange (NMCE).

Spot rates were (Rs/kg): RSS-4: 200 (200); RSS-5: 188 (188); ungraded: 184 (184); ISNR 20: 194 (194) and latex 60 per cent: 130 (130).




Rubber prices may extend gains
Posted: 20 Nov 2010 11:23 PM PST
Prices on the Malaysian rubber market is expected to extend its gains into next week amid tight raw material supplies.
"Bad weather conditions has been disrupting output and the market's direction next week will be determined by external leads mainly from the Tokyo Commodity Exchange and Shanghai Rubber Futures market," a dealer said.
Meanwhile, Thai rubber production is expected to fall by 30,000 tonnes, annually, for the next six years following damages caused by floods.
He said future steps taken by China to combat inflation and its effect on demand would take a toll on prices.

For the just-ended week, the Malaysian Rubber Board's official physical noon price for tyre-grade SMR 20 declined to 1,329.5 sen per kg from 1,342.0 sen last Friday, while latex-in-bulk increased to 874.5 sen per kg from 862 sen, previously.
The market was closed last Wednesday in conjunction with the Hari Raya Aidiladha celebration.
Meanwhile, the unofficial closing price for tyre-grade SMR 20 jumped to 1,337.5 sen per kg, from 1,328.0 sen last Friday, while latex-in-bulk rose to 878.0 sen per kg from 860.0 sen, previously. -- Bernama

(Source: http://www.btimes.com.my/Current_News/BTIMES/articles/20101120121320/Article/index_html)






Asian rubber: tyremakers keep buying despite high prices
Posted: 20 Nov 2010 11:18 PM PST
BANGKOK (November 21, 2010) : Major tyremakers are buying Asian rubber for nearby shipment despite high prices, although Chinese consumers are staying on the sidelines, reluctant to pay such rates, dealers said on Tuesday. Major tyremakers, including Bridgestone and Goodyear, are buying Indonesian SIR20 at 191.50 US cents/lb for prompt shipment, they said.
"Most tyremakers have shifted to buy Indonesian grade as it is generally considered the cheapest grade in the region," a Singapore-based trader said. Dealers said most consumers finally accepted the high prices as they realised they would not drop significantly to the levels of about $3.00 per kg seen at the same time last year.
Some traders were still buying Thai rubber, even though it was relatively expensive. "It seems like they realise there's no more cheap rubber," said a dealer in the southern Thai town of Hat Yai, the centre of the country's rubber trade.
Benchmark Thai RSS3 was bought at $4.27 per kg for January shipment, slightly below a record high of $4.40 per kg traded last week. Thai rubber grade as well as other Asian rubber grades changed hands at record levels last week, tracking Tokyo Futures rubber prices (TOCOM) which jumped to a 30-year high.
TOCOM rubber surged to a 30-year peak of 388.9 yen per kg, the highest since 1980, on the back of supply concerns after Thailand, the world's biggest producer, was hit by severe flooding that disrupted tapping and delayed shipments. However, dealers said Chinese tyremakers were staying out of the market, waiting to buy only when prices dropped. "They're waiting to buy when TOCOM prices drop, expecting physical prices to drop as well. But they still buy in dribs and drabs," one dealer said.
WEEK AHEAD The rainy season in Thailand's south is likely to end over the next couple of weeks and traders said they expect no more rain in December and prices should drop gradually.

(Source: http://www.brecorder.com/news/agriculture-and-allied/world/1126024:asian-rubber-tyremakers-keep-buying-despite-high-prices.html)