Turmeric futures (Aug) may take support near 7950-7900 levels, taking positive cues from the spot markets. Traders preferred quality turmeric at Erode spot markets. Medium and quality turmeric arrived for sale on Thursday. The traders quoted higher price for the quality turmeric and purchased all the bags. The growers brought 5,800 bags and 70 per cent of the arrived stocks were sold. Regarding the price of the finger turmeric, quality turmeric went for Rs.9,200-9,300 a quintal in all the markets. Similarly, the root variety fetched Rs.8,200-8,500. At the Erode Turmeric Merchants Association, the finger turmeric traded at Rs.7,499-9,270 a quintal; the root variety Rs.7,269-8,412.
Cardamom futures (Aug) may trade higher & test 960-970 levels. An unusually long summer without rains has delayed the harvest, which is now likely only by the end of August or in September. The market is currently running on carryover stock from the previous year.
Coriander futures (Aug) may trade higher & test 8600 levels. At the spot markets, Eagle quality coriander traded at Rs 6600/100Kg and Badami quality coriander held at Rs 6300/100Kg in Kota market. Jeera futures (Aug) is likely to witness some profit booking from higher levels & can test 18620 levels. Cumin seed prices were down in the major markets of Rajasthan on Thursday amid weak tone in the future market. Buying at upper level was low. No export oriented buying was noticed in market. Good quality Cumin traded at Rs 17,000 and average grade cumin was offered at Rs 15,000/100 Kg. In Merta Mandi Cumin seed was quoted at 17,300/100 Kg, Rs 200 down from last closing.
Soybean futures (Oct) may trade sideways in the range of 3580-3640 levels. Currently, weather is dominating soybean market as good monsoon progress and proper distribution of rainfall at regular intervals in main farmland has raised hopes for better than expected harvest this year. The crop has been planted on 10.61 million hectares of land, a 1.2 per cent increase over the previous year. The price movement of soybean will largely depended on demand soybean meal, as the other by-product refined soy oil is imported in large quantity to meet domestic demand. On CBOT, U.S. soybeans edged higher on Friday, but the oilseed was poised to record its biggest one-month fall in more than two years as concerns over unfavourable weather eased, boosting expectations for bumper supplies. The most active soybean future on the Chicago Board Of Trade is down nearly 15 percent for the month, the biggest one-month fall since June, 2014. U.S. Department of Agriculture weekly U.S. export sales for the current marketing season of a negative 1,400 tonnes of soybeans were below expectations for sales of 250,000 to 450,000 tonnes.
Mustard futures (Aug) may trade with a downside bias in the range of 4790-4850 levels. Mustard seed traded down in benchmark Jaipur market of Rajasthan pressured by ease in demand at the higher level. Mustard seed are facing some pressure as demand is little slow at higher level for mustard oil, as the prices for the same has rose to 9-month high last week in comparison with other vegetable oil.
CPO futures (Aug) may trade in the range of 498-505 levels, while refined soy oil futures (Aug) will possibly remain below 632 levels & trade with a downside bias. Malaysian palm oil futures reversed gains made in the previous session, pushed lower by expectations of rising output that would contribute towards greater stockpiles at end-July. Benchmark palm oil futures for October delivery on the Bursa Malaysia Derivatives Exchange fell 0.8 percent to 2,300 ringgit ($568) per tonne at the close of trade, the first decline after two sessions of gains.
Kapas futures (Apr) is expected to witness a steep fall towards 990 levels, if breaks 1010-1005 levels. Spinning units are still in the wait and watch phase and do not want to incur major losses after production of yarn has been eating the profitability of the millers. Further disparity in yarn and shortage of cotton with higher prices has forced many mills in the North India to cut down production by going on production holiday for 1-3 days.
Mentha oil futures (Aug) is likely to fall further towards 900-890 levels. Mentha oil dropped on the spot markets after recent strong rise amid slow lackluster demand.
Sugar futures (Oct) can turn bearish & witness 3780-3750 levels. The selling pressure over the counter is expected to rise as the central government is mulling whether to impose stock limits for sugar millers and restrictions on domestic sales by fixing a quota on each mill, to tame retail prices, currently Rs 43 a kg.
Courtesy: Smc Comtade