Spot Guar Complex Remains Bearish As It Follows Future’s Trend

NEW DELHI (Commodities control) Spot Guar complex remained bearish in spot market of Rajasthan, Gujarat and Haryana as it followed future’s trend which was positive in morning session but turned to bearish due to selling pressure from investors. Guar seed trade was limited in spot mandis as there was no auction trade in Bikaner mandi.

Guar gum and seed traders were looking for export demand from the US but it was yet to pick up. Poor demand from exporters did not support guar gum and seed prices. The exporters were not keen for gum buying as they have enough stock of gum powder. Gum millers were reluctant to seed buying as they also have sufficient stocks. Therefore, even lower arrival was enough to dampen market sentiments. Total arrival reduced to below 15,000 bags in across the region. Lower arrival and smaller crop size were unable to support market sentiments.

In the absence of strong fundamentals, traders were following future’s trend. Investors were trading on speculations. Trade sources said that some big operators were driving future market so it became very speculative. The operators push up prices by constant buying in morning but they come up for selling by evening so the prices come down. Now it became regular trend in future market of NCDEX.