Commodities, Featured

Mid-November Rubber Commodities Prices To Move Up In Both Global And Domestic Markets

Although global natural rubber prices have remained very much unpredictable since September, the domestic market prices have been declining ceaselessly. In any case, rubber commodities prices in both markets are anticipated to move up and restore on year-end request.

In the spot or cash market, the price of RSS-4, which is the favorable raw material for radial tyres that has tumbled from 132 Rupees per kg at the beginning of September to 123 Rupees per kg a week ago.

Prices were fixed during downpour season and floods in Kerala. After downpours quit, tapping continued in the rubber production zones of Kerala and enhancing the supply and this facilitated prices correct from 132 Rupees per kg, stated by Veeresh Hiremath, who is the Head of Research at Karvy Commodities.

Indian rubber commodities prices were trading significantly higher than Thai and Malaysian rubber in August. It was about 38 Rupees per kg costlier than Malaysian rubber and about 39 Rupees per kg higher than Thai rubber during the second week of August. However, both demand and supply of Indian rubber did not bolster any upside in prices.

Yet, worldwide rubber prices have remained very unstable during this period. At the TOCOM (Tokyo Commodity Exchange), rubber prices were exchanging at 164.2 yen per kg in the start of September 2018. It has been moving up and down within a range of 167-174 yen per kg in the past few weeks. It was trading at 166 yen per kg by the end of last week, according to Dailyhunt.

The year-end automobiles sales will force the demand for tyres. The introduction of new vehicle models will additionally bolster demand for tyres. Moreover, most of the tyre companies begin planning the budget for their next year purchase and bargain prices during the year-end. The market will wind up dynamic and rubber commodities prices in both domestic and global markets are expected to revive on year-end demand during this time of mid-November, as reported on Commodity Online.

[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]

Bindhu Mol. G loves writing news articles. She excels in SEO articles, technical articles and academic articles. She covers commodities and mutual fund news for OWLT Market.

Leave a Comment

Your email address will not be published. Required fields are marked *