Karvy expects Turmeric to continue trending down

Pepper futures prices are projected to continue the down trend on prevailing weak sentiments across the spot markets. Reports of higher crop in Sri Lanka, the major import destinations of India might also keep prices under pressure. However, prevailing tight supply situation at domestic front and rising concern of moisture content in stored produce might limit huge losses during the day.

Turmeric prices are expected to continue the losses on back of prevailing bearish fundamentals. Huge stocks available with farmers along with subdued demand from stockiest are likely to keep prices under pressure. However, a small recovery on short covering after these huge losses can be seen in market but this recovery might remain short live as overall bearish trend is still intact.

Jeera futures prices are projected to trade on slightly lower note on cues from lack of active buying interest in market. According to trade sources, despite of end of arrival season supplies at spot front is remaining higher as compared to last year which is weighing on sentiments. Reports of huge fall in Syria and Turkey’s jeera productions might limit sharp fall in prices. Arrival at spot market of Unjha were reported around 10,000 bags against 8,000 bags (1 bag= 60Kg.) reported on Saturday.

Chilli June futures prices are projected to trade in range bound manner with biased towards down side due to lack of fresh cues from spot front. Overall trend is still weak which might limit either side movement during the day. Spot market of Guntur is closed for one month due to rising mercury levels and expected to resume trade activity from June 11th onwards. Poor export demand and higher production are likely to keep market sentiments down side biased during this period. According to trade sources, farmers are directly depositing their produce in cold storages and good stocks have been stored till now.

Cardamom prices are projected to continue the recovery on lower level buying during early trading hour. However, rising expectations of good crop in coming season might weigh on prices later in the day. Pre monsoon showers supportive for crop growth which is weighing prices. Total daily arrivals at spot auction held in Kerala were around 18,413 Kgs. on Monday. According to trade sources, prevailing volatility in prices is not healthy for market as it is not revealing actual trend and making trade activity difficult.

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