UPDATES ON OCT 6 2008

OCT 6 MONDAY

PEPPER

SHORT TERM TREND : BEARISH

LONG TERM TREND : BEARISH

S1 RS 12900 , S2 RS 12750

R1 RS 13250 , R2 RS 13400

STAY SHORT.

Pepper futures drop despite strong fundamentals.

The pepper future market last week witnessed

high volatility and prices continue to decline

after mid week even as thge fundamentals were

remaining strong.

Tight supply position in all the origins coupled with

indications of potential demandin the last quarter

of the current year , appears to have pushed up

the price in other origins.

Availability of black pepper in the market also

appears to be tight.

Indications are that many of the buyers have not

covered for the last quarter of the year while

at least 70 % of the next years requirements

also would have to be covered.

All contracts fell during the week and the decline was

from Rs 387 to 499 a quintal.

All the three contracts dropped below the spot

price of Rs 13800 a quintal.

Widening gap between the futures and the spot

price is not a good sign.

update

UPDATE FOR OCTOBER 1, 2008

Spices are expected to move sideways to higher,

stay long. Oct Jeera S 10960 R 11200

Pepper S 13700 R 14100

Turmeric S 3830 R 3890

Chilli S 5150 R 5230

UPDATES ON OCT 1 2008

OCT 1 WEDNESDAY

PEPPER FUTURES GAIN ON BUYING SUPPORT

AND TIGHT SUPPLY.

Pepper futures on Tuesday moved up strongly on

buying support and reports of tight supply positions

in all the origins.

October contract shot up by Rs 330 a quintal to Rs 13929

for the first time after several weeks and converged

with the spot price.

November and December contracts incresed by Rs 313

and Rs 305 to Rs 14140 and Rs 14363 a quintal

on the NCDEX.

The stocks held by the exchanges are estimated to

be around 4500 tonnes and of this 40 to 50 % will

be depleted this against pending export commitments.

There was no selling pressure in the spot market

and prices also increased in tandem with the futures

market trend by Rs 200 a quintal to close at Rs 13300

and Rs 13900 on Tuesday.

CARDAMOM

mcx October contract hit a life high of Rs 749,

subsequent to which rofit booking settled the closing

price lower at Rs 728.

The trend looks bullish though till the ensuing

festival season though the arrivals at auction centres

in Kerala and Karnataka increased considerably.

PEPPER UPDATE

PEPPER UPDATE ON 29 SEPTEMBER

The international pepper market appears to be facing a

tight supply positionwhen there is every posibility of potential

demand emerging in the coming weeks from the US and Europe

markets to cover for their uncovered portions of their winter/

New Year requirements. However it might depend on how far

the crisis in the US economy is going to impact the pepper

market there.

All the contracts went up during the week and the increase was

from Rs. 736 to Rs. 786 a quintal on NCDEX, and on NMCE

it was from Rs.686 to Rs. 829 a quintal.

Spot prices went up by Rs. 300 a quintal during the week

to close at Rs. 13100 ( ungarbled ) and Rs. 13700 ( MG1 )

at the weekend.

In India, the stock position with the exchanges is estimated at

around 5000 tonnes.Stock position at NCDEX on Sept 22

was at 4626 tonnes. The farmers , who are said to be holding

stocks, are not ready to part with their produce at current price.

Therefore , we may not have much to offer , trading sources

said adding there is going to be strong domestic demand in the

coming days.

MARKET UPDATE

MARKET UPDATE FOR 21 AUGUST

PEPPER FUTURES FELL ON FEVERISH ACTIVITIES,

THE MARKET CONTINUED TO WITNESS HUGE

VOLATILITY BECAUSE OF MUSCLE POWER OF BOTH

BULLS AND BEARS. AUGUST CONTRACTS MATURED

AND 1172 TONS OF THE COMMODITY WERE DELIVERED.

SEPTEMBER CONTRACT DROPPED BY RS.116 AT RS.14458

A QUINTAL FOR MG1.THE FALL IN OTHER CONTRACTS

WERE FROM RS.99 TO RS152 A QUINTAL. BUYING INTEREST

WAS SEEN FROM THE INVESTORS WHO COVERED 50 TO 60

TONS OF MG 1 EXCHANGE DELIVERED PEPPER AT RS.14700

A QUINTAL.THE PRIMARY MARKETS REMAINED SILENT

AS THE GROWERS KEPT AWAY FROM SELLING.