Crude oil-linked agro commodities fall sharply, Guar, CPO lead decline

CPO is used to make bio-fuels and is influenced by the movement in crude oil; Guar gum fell because it is used in fracking, a method of extracting shale gas

Agricultural commodities followed the path of equities today, with guar seed and gum prices posting sharp declines brought on by a signifcant bearish trend in crude oil. Crude palm oil displayed a similar sentiment, as a lot of the demand for this commodity comes from bio-fuel makers, and its price is influenced to some extent by the movement in crude oil. In fact, practically everything else, including Chana and a range of spices traded in the derivatives segment of NCDEX, was down today.

Guar gum, guar seeds, crude palm oil, and other edible oils like soy bean shed between 1.5