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Physical rubber prices decline further

28 Jul 2011 Evaluate

Physical rubber prices slipped further on Wednesday, while there was concern that another rate hike by RBI will slow Automobile demand and consequently affect the tyre industry. There was also pressure from increasing domestic production, higher stocks and imports.

Spot prices for RSS-4 variety closed at Rs 209 compared to its previous closing of Rs 209.50, while the RSS-5 variety closed at Rs 206 compared to its previous closing of Rs 207.

In the futures market, the contract of RSS 4 for August delivery closed at Rs 207.36 compared to its previous closing of Rs 209.15, while the contract for September delivery closed at Rs 206.65 compared to its previous closing of Rs 208.78 on the National Multi Commodity Exchange.

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