vishnuvega
21-05-2008, 05:55 AM
Sugar futures fell on Tuesday, taking cues from weak world prices, rising deliveries at exchange warehouses and concerns the government may take more measures to rein in inflation.
At 3:53 pm (1023 GMT), the June contract was down 0.7 per cent at Rs 1,417 ($33.2) per 100 kg on the National Commodity and Derivatives Exchange, while the July contract fell 0.61 per cent to Rs 1,472.
The May contract, which expires on Tuesday, rose 0.74 percent to 1,357 rupees. Deliveries for the May contract exceeded 12,800 tonnes, with another 5,000 tonnes undergoing checks, compared with about 9,100 tonnes at the expiry of the April contract.
"Apart from the delivery pressure traders are not willing to take fresh positions fearing government measures to curb inflation," an analyst in IL&FS Investsmart Commodities Ltd said.
The federal government suspended futures trade for four months in four agricultural commodities - soyoil, chickpea, rubber and potato, earlier this month to curb soaring prices. Annual inflation was at 7.83 per cent in early May, its highest since November 2004, government data showed last week. ($1=42.7 rupees)
At 3:53 pm (1023 GMT), the June contract was down 0.7 per cent at Rs 1,417 ($33.2) per 100 kg on the National Commodity and Derivatives Exchange, while the July contract fell 0.61 per cent to Rs 1,472.
The May contract, which expires on Tuesday, rose 0.74 percent to 1,357 rupees. Deliveries for the May contract exceeded 12,800 tonnes, with another 5,000 tonnes undergoing checks, compared with about 9,100 tonnes at the expiry of the April contract.
"Apart from the delivery pressure traders are not willing to take fresh positions fearing government measures to curb inflation," an analyst in IL&FS Investsmart Commodities Ltd said.
The federal government suspended futures trade for four months in four agricultural commodities - soyoil, chickpea, rubber and potato, earlier this month to curb soaring prices. Annual inflation was at 7.83 per cent in early May, its highest since November 2004, government data showed last week. ($1=42.7 rupees)