Mentha oil, urad lead rally

Updated: Nov 16 2005, 06:08am hrs
The market, that was devoid of fireworks on Monday, was given a hard time as it failed to cope with the show that was witnessed on Tuesday. It was an unforgettable day, especially as one commodity that is not used to handling situations at the highest levels looked vulnerable after reaching the top and in the process set a life-time high too. It was at these levels that the pressure set in and it ended the day marginally down.

Mentha oil was given ample support by the belligerence of urad that staged the comeback of the month in gaining nearly 6% for the various contracts. The list of comebacks will not be complete if the names of Guarseed and tur are left out. Overall this activity filled day will be remembered more for the Mentha oil-urad show.

Market watch

There is an important question that is doing the rounds as people associated with domestic rubber are flummoxed by the recent outcomes in the domestic rubber future markets and are coming out with questions in regard to the same. The domestic rubber prices that were moving up on its own completely ignoring the falling rubber prices across the globe crashed down on a day in which the global prices remained firm. Moreover when the global prices registered considerable gains during the last 2 days the domestic prices have remained flat and this by itself is more than adequate to put doubts in the investors minds which in turn is coming out as questions. Elsewhere Asian rubber futures settled mostly higher on Tuesday, tracking gains on the Tokyo commodity exchange. Tocom rubber futures shrugged off midday losses to settle higher, tracking the weakness in the yen versus the US dollar.

Courtesy: Geojit Commodities Ltd