Guargum plunges by Rs 210 a quintal on weak trend

Speculators reduce positions on fall in export demand, higher arrivals from producing belts

Guargum prices tumbled by Rs.210 to Rs.12,160 per quintal in futures trading today as speculators reduced positions, tracking a weak trend at spot and overseas markets.

At the National Commodity and Derivatives Exchange counter, guargum for delivery in April lost Rs.210, or 1.70 per cent to Rs.12,160 per quintal, with an open interest in 15 lots.

The most active February contract shed Rs 40, or 0.33 per cent to Rs.12,060 per quintal, having an open interest of 9,980 lots.

The January contract was down by Rs 30, or 0.25 per cent to Rs 11,910 per quintal, having an open interest of 7,950 lots.

Marketmen said increased arrivals and

 

  slackness in demand from consuming industries in spot markets, mainly weighed on guargum prices at futures trade here.

Further, fall in export demand too negatively impacted sentiment, they said.