Wednesday, April 4, 2012

NCDEX PEPPER TIPS


PEPPER SLIDES FURTHER ON WEAK SPOT DEMAND, HIGHER MARGIN AT NCDEX

Date: 04/04/2012

Indian Black Pepper futures slipped further on weak spot market and margin hike by FMC for pepper futures trading from last day onwards. After months of continued price escalations, black pepper is falling in the Kochi spot market, ostensibly on news that the Forward Market Commission (FMC) has initiated investigations on prices of key farm commodities, including pepper. Black Pepper for ready delivery in Kochi, closed Tuesday's trading session with negative note at Rs 37,800, down by Rs 700 per quintal over the last close. Pepper arrivals in Kochi Mandi decreased to 60 quintals on Tuesday on 3rd March 2012 from 200 quintals; meanwhile Offtakes slumped to 80 quintals from 400 quintals as on Monday.

The NCDEX Pepper April contract ended the session lower at Rs 38,175, down by Rs 895 or 2.29% over the last close. The contract traded in the range of Rs 37,945-39,580 per quintal.

In today's early trading session, the NCDE Black Pepper April delivery traded in the range of Rs 38375-37405 and currently trading lower at Rs 37520, down by Rs 630 or 1.65% over the last close. The open interest dipped 2% to 4,002 tonnes, indicating profit taking and volume traded as of now stood at 2,002 tonnes. Technically, the counter is likely to find support at Rs 37195, Rs 36815 while resistance is at Rs 38020, Rs 38420 per quintal.

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