Spot rubber rules firm despite weak futures

Physical rubber prices finished unchanged on Monday. The market remained neutral despite a weak closing in Thailand and international futures. According to observers, there were no active traders in the local scene as the inflow of rubber even to the village markets was extremely poor.

Meanwhile, Tokyo Commodity Exchange rubber futures dropped for the third day in a row as fears over slowing demand from China continued to hit investor sentiment. Sheet rubber finished steady at Rs 195 a kg at Kottayam and Kochi, according to traders and the Rubber Board.

August futures declined to Rs 191.05 (Rs 194.26), September to Rs 179 (Rs 181.95), October to Rs 169.01 (Rs 171.22), November to Rs 163.63 (Rs 166.13) and December to Rs 164 (Rs 165.86) on the National Multi Commodity Exchange.

RSS 3 (spot) dropped to Rs 148.19 (Rs 150.31) at Bangkok.

August futures closed at ¥ 240.9 (Rs 146.19) on the Tokyo Commodity Exchange.

Spot rubber rates at Rs/kg were: RSS-4: 195 (195); RSS-5: 190 (190); Ungraded: 179 (179); ISNR 20: 179 (179) and Latex 60%: 166 (166).