Jeera Extends Winning Moves, Traders Eye Low Supplies

NCDEX Jeera futures gained further as the commodity witnessed a steady buying support following weak supplies in ready markets. Export demand is likely holding up and buying is continuing to lift the futures to fresh contract highs. The benchmark NCDEX July 2018 futures contract edged up after repetitively testing lows near Rs 16100 per quintal mark last week. The futures are trading at Rs 16655 per quintal, up half a percent on the day. The supplies have been lingering in a range of around 10000-12000 bags in Unjha and the trend is likely to remain the same as rainy season continues. The Jeera harvest period in India for jeera starts around February-March and next few months see good arrivals. Supplies tend to wane after the monsoons start. As such, the next few weeks are likely to see muted trades in spot markets though prices are expected to stay elevated.