Shares of four tyre companies rose 0.98% to 3.33% at 12:31 IST on BSE as natural rubber prices declined.
CEAT (up 3.33% at Rs 356.80), JK Tyre & Industries (up 2.85% at Rs 167.70), MRF (up 1.21% at Rs 19,325) and Apollo Tyres (up 0.98% at Rs 118.15) edged higher.
Meanwhile, the S&P BSE Sensex was down 43.34 points or 0.21% at 21,090.87.
Rubber futures in Tokyo reached a five-month low as stockpiles in China continued expanding, deepening concern that demand from the largest user is slowing. The contract for delivery in June 2014 on the Tokyo Commodity Exchange was down 1.48% at 252.50 yen a kilogram. The contract dropped as much as 3.9% to 246.4 yen a kilogram in intraday trade, the lowest level since 8 August 2013. Futures extended last week's 6.6% drop, the most since the five days through 19 April 2013.
Decline in rubber prices could boost profit margin of tyre firms. Rubber is a key raw material in tyre manufacturing.
Powered by Capital Market - Live News
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app