NCDEX Guargum futures edged up from contract lows and the recovery extended today as traders eyed a slight delay in the arrival of monsoons. Guargum futures had tumbled sharply in last few days as a free-fall in global crude oil prices hurt the export prospects for the commodity. NCDEX Guargum futures for July tested a contract low of Rs 8512 per tonne yesterday after sliding under Rs 9000 level in last week of May. The counter edged up today and currently trades at Rs 8576 per tonne, up 0.53% on the day.
The India Meteorological Department (IMD) has stated that that a low-pressure area is likely to form over the South-East Arabian Sea off the Kerala-Karnataka coast by Sunday, which will mark the onset of the monsoon. However, the agency has deferred this by two days the onset from June 6 to around Saturday (June 8). This is being accentuated by a latest update from the Climate Prediction Centre (CPC) of the US National Weather Service which suggests a weakening of the anomalous easterly winds and the return to a normal monsoonal flow pattern towards the end of the week from June 12-18