Informist, Friday, Mar 11, 2022

By Rahul Dhuri

MUMBAI – Prices of natural rubber rose to a three-month high today in the key markets of Kerala because of low arrivals with the peak tapping season having ended. Rise in crude oil prices also supported rubber prices, traders said.

* "Supply concerns due to lean season and tyre companies resuming purchase earlier in the week to meet their production requirement supported prices," said Ninu Mohammed, owner of Kochi-based Sara Traders. Bulk buyers and stockists are waiting for prices to correct before making fresh purchases, he added.

* On the Tokyo Commodity Exchange, rubber contracts recouped early losses and ended higher due to fresh demand from bulk buyers amid concerns about global rubber supply, analysts said.

* Rubber prices were down early in the trade tailing crude oil prices, which fell on New York Mercantile Exchange, after US inflation rose to a fresh 40-year high, raising worries that surging prices could limit consumption, said Tapan Patel, a senior analyst at HDFC Securities. 

* Natural rubber prices take cues from crude oil, as the latter is used to manufacture synthetic rubber.

Following are the highlights of today's trade:

--The widely-traded RSS-4 variety was sold at 169-170 rupees per kg, up 3 rupees from the previous day.

--The August contract on TOCOM ended at 245.5 yen (160.81 rupees) per kg, up 1.6 yen from previous close.  End 

Edited by Ashish Shirke

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