Commodity	Rate 09-03-10	Rate 08-03-10	Up/Down	Quote
USDINR( cash)	45.57	45.52	0.05
CBOT Wheat	478.5	484.5	-6	cents/bushel
CBOT soybean	941.5	940.5	1	cents/bushel
BMD Palm oil	2650	2709	-59	ringett/tonne

Turmeric
Volatility has once again hit the turmeric markets as can be seen from the wild movements in the price in the last couple of days. The futures markets saw the price touching the upper circuit during the initial trading hours while the lower freeze was noticed during the later session. At the benchmark Nizamabad markets, the price quoted for turmeric finger quality was in the range of Rs8,900/9,100 per quintal. We believe that turmeric’s price would continue to be volatile. However, with the demand from the domestic markets reviving, the price could continue to rise in the near term. (1bag=75kg)

Pepper
With no improvement in the arrivals, pepper at the benchmark Kochi market traded steady at Rs13,200 per quintal amid arrivals of 200 quintals. The lower price of pepper has affected farmers’ selling which could have an impact on the price. Pepper’s crop size this year is forecast at 55,000 ton, higher by 10% as compared to that in the previous year. On the export front, Malabar grade garbled pepper was quoted at USD2,950/2,975 PMT FOB kochin. We expect the price to rise in the coming days as lower arrivals coupled with the domestic demand would have a positive impact on the price. (1bag=100kg)

Wheat
Amid no news flow, wheat at the major markets traded steady. At the benchmark Delhi market, wheat Dara quality was quoted in the range of Rs1,220/25 per quintal. The harvesting season would begin in the coming weeks and given the higher acreage, the production is expected to surpass the last year’s crop size of 80 million tonne. The price of wheat for April and May delivery has already discounted the bumper crop and is trading at Rs1,130/35 per quintal while the MSP of wheat stands at Rs1,120 per quintal. We expect the price to stay at the lower levels as supplies would keep up in the coming months from the new harvest and the government stocks. (1bag=100kg)

Soybean
CBOT review:
Soybean futures on the Chicago Board of Trade ended mostly lower on Tuesday but well off the session’s lows, as the prices rebounded from an early slide on end-of-the-day position squaring. 

CBOT March soybeans ended 1 cent or 0.11% higher at $9.41 1/2 and May soybeans settled 1/2 cent or 0.05% lower at $9.47 1/2.

The US Department of Agriculture (USDA) is scheduled to release its March supply-and-demand revisions today. The USDA is expected to tighten its March US soybean supply-and-demand tables, with alterations to exports and crush projections trimming ending the stock forecasts.

Soyoil futures settled modestly higher, recovering from the earlier declines, as traders covered positions heading down the stretch. Soymeal futures finished with a steady-to-lower undertone, managing to trim the earlier losses on end-of-the-day position squaring. March soymeal settled $0.50 or 0.19% lower at $259.00 and the May contract ended unchanged $258.70 per short ton. March soyoil gained two points or 0.05% to 39.97 cents per pound while the May contract settled two points or 0.05% higher at 40.30.

Indian market review:
A steady movement was noticed at the major markets of Madhya Pradesh and Maharashtra with the arrivals at just around 35,000 bags. The price quoted for soybean plant delivery at Indore markets were in the range of Rs2,090/2,100 per quintal. 

Soymeal fell in line with the international markets and was quoted at Rs17,000 per ton at the Indore markets. On the export front too, the price remained benign following a lower demand for Indian soymeal.

Soyoil quoted steady at Rs435 per 10kg for refined oil (excluding tax) while soy solvent was quoted in the range of Rs409/10 per 10kg. Imported soy degummed oil traded steady in the range of USD897/900 CIF kandla.(1bag=90kg)

Chana
With a rise in the arrivals at the major markets of Madhya Pradesh and Maharashtra , chana’s price corrected in line with the prices on futures bourses. Chana desi at the benchmark Delhi market was quoted at Rs2,125/30 per quintal amid arrivals of 35 trucks while the price of kantawala chana at the Indore markets was quoted at Rs1,950 per quintal (plant delivery). Arrivals in Maharashtra’s mandis were reported at 1.8 lakh bags. The demand for chana products remained good. We believe that farmers holding on to their stock might support the price in the near term though a record output could weigh on the price in the medium term. (1bag=90kg) 

WEATHER REPORT

• Maximum temperatures are above normal by 4-7°C over western Himalaya region and by 
• 3-6°C over many parts of west, peninsular and northeast India. 
• Maximum temperatures are 40°C and above over isolated pockets of interior Andhra Pradesh.
• The highest maximum temperature of 41.4°C was recorded at Anantpur (Andhra Pradesh).

Synoptic features (based on 0530 hrs IST Observations) 

• The western disturbance as an upper air system lies over Jammu & Kashmir and neighbourhood.
• Strong northwesterly/westerly winds are prevailing over parts of indo-Gangetic plains in lower levels.

Numerical weather prediction (NWP) Guidance 

• The western disturbance is likely to affect western Himalayan region during next 48 hours. 
• Wind confluence likely over north Maharashtra and adjoining Telangana during next 48 hours.

Satellite Observations: 

• KALPANA–1 Cloud imagery at 0530 hours IST shows convective clouds over parts of Jammu & Kashmir. Low/medium clouds are seen over parts of western Himalayan region, Punjab, peninsular India and north Andaman Sea.

Major features of weather forecast (upto 0530 hours IST of 13th March, 2010). 

• Isolated rain/snow would occur over Jammu & Kashmir and Himachal Pradesh during next 48 hours.
• Isolated rain/thundershowers would occur over parts of northeastern states during next 2-3 days.
• Isolated light rain/thundershowers may occur over north Maharashtra and adjoining parts of Madhya Pradesh & south Chhattisgarh, north Andhra Pradesh and Orissa.
• Minimum and maximum temperatures would increase by 2-4°C over parts of northwest, central & east India during next 2 days.
• Dry weather conditions will continue to prevail over remaining parts of the country.

Weather Outlook (upto 0530 hours IST of 15th March 2010) 

• Isolated rain/thundershowers would occur over Andaman & Nicobar Islands, Arunachal Pradesh and extreme south Peninsular India.
• Dry weather conditions will prevail over remaining parts of the country.

                Copyright © 2010 Sharekhan.com & Sharekhan Ltd. All Rights Reserved.