Jeera October contract gained Rs 17.5 and settled at Rs 13905 per quintal as thin supplies in the spot market supported buying though rains in top producer Gujarat state limited the upside. The total arrivals remain unchanged at 4,000 bags yesterday, while demand was seen for around 5,000 bags. Weak export demand for the Jeera added further support for the drop in the prices. The commodity is rabi crop, however farmers and market sources are expecting strong rainfall in the October- November sowing season. Yields could increase next year because of improved soil moisture. September rains play a very important role in determining the yield of the crop. The total arrivals decreased to 3,000 bags from 4,000 bags, while demand was seen for around 5,000 bags. Moreover, poor export demand of domestic jeera in the near term due to fresh supplies from Syria and Turkey also add some selling in both spot and futures market. Demand is expected to pick up in coming weeks however as traders wait for some more dips for the commodity. Rains at this stage would be beneficial for the sowing activities due to start over next few months. In Unjha, a key spot market in Gujarat, jeera dropped -108.65 rupees to end at 14905 rupees per 100 kg. The contract made intraday low of Rs 13700 a kg and high of Rs 14080 a kg. Support for jeera is at 13710 below that could see a test of 13515. Resistance is now seen at 14090 above that could see a resistance of 14275.

Trading Ideas:

Jeera trading range for the day is 13515-14275.

Jeera gained as thin supplies in the spot market supported buying though rains in Gujarat state limited upside

Indian jeera exports rise by 40 pc in quantity due to Syria unrest

NCDEX accredited warehouses jeera stocks dropped by 106 tonnes to 10519 tonnes.

In Unjha, a key spot market in Gujarat, jeera dropped -108.65 rupees to end at 14905 rupees per 100 kg.