NEW DELHI (Economy India): Cottonseed oil cake futures prices declined on Monday as weak demand and a subdued trend in the spot market prompted traders to reduce their positions.
On the National Commodity and Derivatives Exchange (NCDEX), cottonseed oil cake for September delivery fell by Rs 36, or 0.94 per cent, to Rs 3,802 per quintal. The contract recorded an open interest of 16,650 lots.
Market analysts said participants were seen reducing their bets at existing levels amid weak market sentiment. The lack of strong buying support in the spot market also weighed on the futures contract.
Cottonseed oil cake is widely used as livestock feed, making demand from the animal-feed sector an important factor influencing its prices. Any slowdown in buying activity can put pressure on prices, particularly when traders remain cautious about the near-term market outlook.
The latest decline indicates that market participants are closely watching demand conditions and spot-market trends. Continued weakness in buying interest could keep prices under pressure in the near term.
However, traders will also monitor changes in cottonseed availability, feed demand and overall commodity-market sentiment for further direction.
(Economy India)
