Agri Commodities Review: Monsoon Setting Up Stage For Corrective Action

A mixed trend was seen in major agri counters today. However, there is a possibility that another spell of correction would hit the space on prospects of a surge in Kharif sowing as the monsoon is turning active this week. The India Meteorological Department has forecast heavy to very heavy rains for the next three days in Gujarat region and heavy to very heavy rains for this entire week in Konkan and Goa, Coastal Karnataka, West Bengal, Sikkim, Arunachal Pradesh, Assam, Meghalaya, Nagaland, Manipur, Mizoram and Tripura. Due to this warning, there is likelihood of rise in water levels in various river basins. It will be interesting to see how this pans out from the sowing perspective.

Coming to the movement on the bourses today, Guar spurted sharply following the recent losses. Jeera also recorded good gains on export hopes. Refined Soya oil futures edged up marginally but the global cues remain weary for the counter as the global prices are lingering around their lowest level in two and half years. Good gains were seen in Soybean though as bargain buying lifted the futures.

In other commodities, Chana added modest gains while Wheat and Maize dropped marginally.