MUMBAI – Rubber contracts ended higher on the Indian Commodity Exchange today due to fresh buying as restarting of operations by some auto units raised hope of a revival in demand, analysts said.
The most-active May contract ended at 11,134 rupees per 100 kg, up 1.3% from the previous close.
Reports indicated that CEAT has resumed partial operations at Nagpur and Nashik in Maharashtra. Other companies may also resume operations later this month.
Gains in the benchmark rubber contracts on the Tokyo Commodity Exchange also supported prices on the domestic bourse, said Mathew Thomas, the owner of Kallarakkal Agencies in Kerala.
Futures contract of rubber on the TOCOM ended higher today tracking sharp gains in the benchmark contract on Shanghai Futures Exchange, said analysts.
The most-active October rubber contract on the Japanese bourse was up 2.3% at 152.3 yen (about 108.46 rupees) per kg. The contract had hit a two-week high of 153.9 yen.
The price of the RSS-3 variety in Thailand rose by $1.79 to $137.90 per 100 kg, data from Rubber Board showed.
Back home, the overall sentiment remained bearish as trade in key markets of Kerala has been hit due to the extension of the lockdown till May 17. Confirmed cases of COVID-19 in India have crossed over 52,950 and death toll has risen to 1,783.
Source Cogencis