Commodity Online MUMBAI: Soy refined prices also closed with a negative note on weakness in physical. It is to be learnt that soy oil prices recovered in the past few days on short covering. Traders expect that on some lower levels some demand may emerge.
Supply conditions are quite comfortable and good amount of stock is believed be there on the ports. In summer, usually soy oil demand comparatively remains low as compared to its other cheap substitutes like crude palm oil.
It is to be learnt that India has made good amount of edible oil import in past few months and supply situation is quite comfortable. Thus prices are facing resistance on higher levels. Kharif oilseeds crop sowing is to be done during late June and whole July month.
Explore Commodity Online Mobile ServicesSome initial monsoon showers are observed in the Maharashtra and Madhya Pradesh regions which are the major oilseeds growing areas.
Traders anticipate some increment in the edible oilseeds sown area particularly under soybean in Maharashtra and Madhya Pradesh and groundnut in Gujarat and Andhra Pradesh. On Thursday downtrend may be seen. NCDEX Soy refined July contract is likely to get support near 472 then 469 and resistance near 478 then 480.
Courtesy: Religare Commodities
