Mentha oil slips in futures trade on slump in demand
Speculators trimmed positions in mentha futures, triggered by muted demand.
NEW DELHI: Mentha oil suffered a loss of over 1 per cent in futures trade on Friday, hit by a slump in demand amid adequate arrival from key producing regions.
Around 11:15 am, MCX Mentha oil was at Rs 1,600 per kg, down by Rs 20.50, or 1.27 per cent.
Speculators trimmed positions in mentha futures, triggered by muted demand from consuming industries at the spot market and adequate stocks on higher supplies from the major producing regions.
As per the SMC Global Securities, mentha oil (February) is likely to face resistance near Rs 1,640 and may witness profit booking towards Rs 1,595-1,565 levels.
"We are seeing a range bound movement in Mentha for the last couple of weeks as prices are oscillating in the range of Rs 1,650-1,470 levels. With lower demand and adequate supply, we expect some bearishness in prices with targets of Rs 1,550-1,540 in March Contract," said Mustafa Nadeem, CEO, Epic Research.
Around 11:15 am, MCX Mentha oil was at Rs 1,600 per kg, down by Rs 20.50, or 1.27 per cent.
Speculators trimmed positions in mentha futures, triggered by muted demand from consuming industries at the spot market and adequate stocks on higher supplies from the major producing regions.
As per the SMC Global Securities, mentha oil (February) is likely to face resistance near Rs 1,640 and may witness profit booking towards Rs 1,595-1,565 levels.
"We are seeing a range bound movement in Mentha for the last couple of weeks as prices are oscillating in the range of Rs 1,650-1,470 levels. With lower demand and adequate supply, we expect some bearishness in prices with targets of Rs 1,550-1,540 in March Contract," said Mustafa Nadeem, CEO, Epic Research.
