Mustardseed yesterday traded with the negative node and settled -0.5% down at 4209 due to profit booking after prices gained due to strong demand of oil meal. Concerns over soybean crop in US and deficit and delayed monsoon in India sparked the oilseeds prices. The demand of oil meal has also increased which has given support to the oilseeds prices including RMseed. As per market sources, strong demand of oilmeal in the major mandies prompted the strong crushing demand of mustard seed. The spot prices of mustard seed oil cake augmented by Rs 1000 per quintal in the last one week to trade at around Rs 15200 per quintal. Similarly, steady trend in other oilseeds such as soyabean and groundnut also added strong gains in mustard seed market. The total arrivals of mustard seed decreased by 2000 bags to 71000 bags in major mandies. As per COOIT, Rapeseed output is estimated to drop by 12.6% to 6.03 mln tons in the year to June 2012. Rains have not been enough in many areas of the country which is a cause of concern and further delay may spark the edible oil prices including RMseed. The total arrivals of mustard seed decreased by 3000 bags to 68000 bags in major mandies. In the Sri Ganganagar spot market in Rajasthan the price edged down by -103.25 rupee to 4032.35 rupees per 20 kgs. In yesterday's trading session Mustardseed has touched the low of 4180 after opening at 4217, and finally settled at 4209. For today's session market is looking to take support at 4170.3, a break below could see a test of 4131.7 and where as resistance is now likely to be seen at 4257.3, a move above could see prices testing 4305.7.
RM Seed trading range for the day is 4132-4306.
Mustardseed prices gained on the heels of strong demand of oil meal along with steady trend in other oilseeds.
Concerns over soybean crop in US and deficit and delayed monsoon in India sparked the oilseeds prices.
Mustard seed prices ended lower due to profit booking after prices gained due to strong demand of oil meal.
In the Sri Ganganagar spot market in Rajasthan the price edged down by -103.25 rupee to 4032.35 rupees per 20 kgs.
- Government to pay $8.1 billion fuel subsidy in fourth quarter
- Oil firms falls as government considers export parity pricing model
- Essar Oil to sign $1 billion financing co-operation deal with CDB
- ONGC may sell stakes in deep-water blocks to Shell
- Huge scope for improving Indian shale gas estimates: ONGC