ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Special IssuesSubscribe to Special Issues

Call Rate Hits Record High

Call Rate Hits Record High The CLOSE of February marked the emergency of tight conditions, not unexpectedly, and the end of the stable six per cent call rate, which had been poised for a rise even before mid-February. What ushered in the tight conditions and triggered off the climb in the inter-bank call rate in Bombay was the final advance quarterly payments of income tax on March 1. By March 4, the call rate had touched a record high of 10 per cent, at which level it has since been sustained.

Soaring Credit

February 25, 1967 Company to pay a dividend of 16 per cent for the current year on the enlarged capital of Rs 54 lakhs. The Company had paid a dividend of J 6 per cent in respect of 1964-65.

A Close Watch

February 18, 1967 the firm trading conditions both in the spot and the forward markets. Even the reported move on the part of the Government to secure a large quantity of soyabean oil from America failed to impart any bearish slant to the price trend.

Who Is Using the Credit

Linseed April contract which opened the week at Rs 167.50 attracted very little attention during the course of the week and after declining to Rs 165.50 closed a shade higher at Rs 166.50. In the same way Castor April also moved within a narrow groove and closed a rupee higher than the lowest level for the week at Rs 144.37.

Tight at Last

FMC Holds Oilseeds in Leash FOR THE FIRST time in several weeks the oilseeds market presented a distinctly bearish trend, the extent of the fall in prices being more pronounced in the spot than in futures, where the volume of transactions has been considerably reduced. In fact, trading conditions last week reflected the first signs of the impact of the actions taken by the Forward Markets' Commission to hold the priceline in oilseeds.

Window-Dressing Time

speculative activity from the futures to the ready section. Groundnut Karad bold moved up by 13 points to close at Rs 212 while Khandesh quality showed a net gain of Rs 12 at Rs 215. Groundnut oil moved from Rs 43.50 to Rs 45.20. Castor- seed Madras and Kanpur bold each recorded a gain of Rs 8 at Rs 156 and Rs 154, respectively. Groundnut expeller and groundnut deoiled witnessed a further extension of the firm trend by recording a rise of Rs 25 and Rs 7, respectively, at Rs 685 and Rs 520. Every item in the ready oilseeds section closed the week at the highest level, unlike in the futures where a modest setback from the week's best levels was noticed at the close.

Easy Spell

December 31, 1966 tures to the spot section. While the turnover in the futures section was limited to stray deals, the activity in the spot market, particularly in groundnut, was very keen as speculators tried to rig up the prices of groundnut oil. Meanwhile, as the bulls in castor and linseed had fulfilled their obligation in respect of margins by paying Rs 45 lakhs, the shorts tried to cover a part of their sales thus imparting a hardening trend to a limited extent to the prices in the futures section. Castor April closed the week with a net gain of only 63 paise at Rs 138.50, while linseed April remained unchanged at Rs 162.50 Cottonseed January moved up by Rs 2 to close at Rs 77.

Prospects Uncertain

December 24, 1966 Focus on Cotton Imports AS MOST varieties of new crop cotton are available about the new ceiling prices, the textile industry has now turned its attention to the prospects of cotton imports. Although the Union Commerce Minister has indicated the Government's intention to import at least 9.25 lakh bales of foreign cotton, not much has been since heard as to how and when the imports are going to be effected. Much will depend on how quickly the Government negotiates with the U S Department of Agriculture for P L 480 cotton imports. Serious efforts in this direction are expected some time in January. At the moment longer staple cotton prices are ruling very firm.

On the Brink of Easiness

ed. The millers were also given the option to preserve the stock of levy in either groundnut or groundnut oil or both. The Food Corporation of India will commence lifting the pending stocks of groundnut oil very shortly.

The Costly Strategy

culative activities of the operators in the futures market. However, towards the end of the week, the apprehensions of a possible Governmental intervention pared the gains to some extent. Reflecting the tight supply position in the ready market, the spot quotations showed marked improvement at the close, gains being shared by almost all the items of oilseeds and oil.

Hardly Tight

Traders Prepare to Meet the Threat WITH Manubhai Shah's statement in the Lok Sabha on November 25, questioning the wisdom of the mill industry's decision on block closure and making clear New Delhi's intention to retain the ceiling on cotton prices and the control on cloth, the stage is now set for the growers and traders to agitate for business transactions determined by the supply and demand position of the commodity. If requisitioning is going to be the chief method of making cotton available to the mill industry, pending a faster tempo of. arrivals, there will be little scope for the growers and traders to obtain the prices they have been accustomed to till now.

Demand Fizzles Out

Demand Fizzles Out THE TIGHTNESS stemming from the Divali demand for funds has ended and easy conditions have re- emerged in the inter-bank call money market in Bombay. The call rate remains unchanged at 4 per cent per annum and the market tends to reflect lenders over.

Pages

Back to Top