Pepper futures shoot up on buying support .

Pepper futures after witnessing high volatility on good buying support closed higher above the previous close as the efforts of the bearish operators boomeranged, according to market sources.

International operators in South-East Asia in a bid to cover cheap were spreading bearish sentiments that Europe has covered fully their 2010 requirements from Vietnam and that too at a time when the April cutting was due in the futures market here.

“This has misfired”, market sources told Business Line. Vietnam prices moved up in the afternoon today and that had influenced the futures market, they said.

Bearish reports were also being spread in the market that 3,000 tonnes of Vietnamese pepper would land soon in the country, which in turn would depress futures market, they said.

Good quantity was traded in the terminal market at Rs 14,800-15,100 a quintal. In the terminal market also small volumes were traded.

Spot prices

Spot prices moved up by Rs 200 to close at Rs 14,600 (ungarbled) and Rs 15,100 (MG 1) a quintal on Tuesday.

Source : Business Line