NCDEX TMC Tips

NCDEX TMC ended the day with steady note . The futures market was not able to breach the previous high. The NCDEX TMC November contract ended the day at Rs 5224, down Rs 18 or 0.34% from the last close.

Turmeric price in the Nizamabad mandi stood at Rs 5,000 per quintal, down by Rs 100 per quintal and the arrivals remained unchanged at 500 bags. Turmeric price quoting in the Erode mandi stood steady at Rs 5,500 per quintal and arrivals increased to 3,000 bags from 2,000 bags. The Salem variety was trading steady at Rs 5,800 per quintal.

Prices have corrected sharply due to lack of buying by the market participants as well as higher stocks with the stockiest. Most of the traders in local mandis are currently projecting the turmeric production in the range of 62-64 lakh bags, almost 5-7 lakh bags above the previous estimates of 58-60 lakh bags. The previous year crop was around 90 lakh bags. Turmeric has been sown in 0.58 lakh hectares in A.P as on 10/10/2012. Sowing is also reported 30-35% lower during the sowing period.

The counter edged up from the low Rs 5074 and was not able to edge up above Rs 5274-5276 level and therefore was not able to gain further. The counter settled the session at Rs 5224, down Rs 18 or 0.34% from the last close. The open interest added 2% to 15,230 tonnes, indicating short selling.