Guar gum tumbles 2.59% on heavy selling

Traders offload positions amid weak gloabl cues, sluggish domestic and export demand

Guar gum prices declined by Rs 470 to Rs 17,650 per quintal in futures trading today as speculators trimmed positions in tune with weak export and domestic spot demand.

Marketmen said participants offloaded positions amid weak cues from global markets.

Besides, increased supply of guarseed from growing belts amid slackness in demand of guar gum at physical markets too weighed on prices, they added.

At the National Commodity and Derivatives Exchange counter, guar gum prices for October contract slipped by Rs 470, or 2.59 per cent, to Rs 17,650 per quintal, with an open interest of 12,637 lots.

The November contract dropped by the same margin of Rs 470, or 2.57 per cent, to Rs 17,850 per quintal, having an open interest of 570 lots.