Guar gum futures drop on negative spot cues

Guar gum prices declined by Rs 228 per quintal in the futures trade today following immense sell-off by participants at existing levels due to negative spot cues.

Marketmen said besides heavy sell-off by the investors at prevailing levels, falling prices at the spot markets due to withdrawal of support by the exporting units of oil drilling industries mainly dragged down the trading sentiment in the guar gum futures prices.

Furthermore, the rupee touching an all time low of Rs 71.37 against the dollar, which influenced the sentiment.

At the National Commodity and Derivatives Exchange, guar gum for November plunged by Rs 228, or 2.32 per cent, to Rs 9,590 per quintal, with an open interest of 6,035 lots.

Meanwhile, the guar gum delivery for October plummeted by Rs 216, or 2.22 per cent, to Rs 9,502 per quintal, with a business turnover of 60,165 lots.