Turmeric To Gather More Buying On Limited Supplies

Turmeric To Gather More Buying On Limited Supplies

Turmeric futures to gather fresh buying from lower levels due to receding arrivals in local mandies coupled with strong exporters buying. The NCDEX futures to test 7060-7065 levels in the near term.

Turmeric arrivals in the Nizamabad and Erode mandis were reported lower with stable prices. Traders also noted that rainfall was reported in some parts of Andhra Pradesh and Karnataka. Traders are expecting the total production in the range of 50-52 lakh bags in the previous year, down 20 lakh bags. Sources also stated that around 68 lakh bags of total stocks have been reported in local mandies.

Turmeric July futures inched up to Rs 7098 level and ended the Friday's session at Rs 7036, up Rs 90 or 1.82% from last close. The open interest pared 965 tonnes to 19,360 tonnes, indicating short covering. Technically, buying is likely to emerge from the levels of 6960-6980 levels , while resistances at 7060-7065 levels in the near term.