By Nirmal Bang

OIL AND OIL SEEDS COMPLEX

MARKET ROUNDUP
- Oilseed complex traded sideways to up tracking international bourses. Soybean rose by more than 1% on soaring overseas demand for Oilseeds. Soy oil and Palm oil too managed to end up on short covering. Cottonseed oil cake traded tad higher yesterday.

IN FOCUS
- Brazil's soy crushing industry raised its outlook slightly for the 2009/10 (Oct/Sept) soybean crop that is now close to ending harvest to a record 67.95 million tonnes, the Vegetable Oils Industry Association (Abiove) said on Thursday.
- Argentina's 2009/10 soy crop is seen at a record 54.8 million tonnes, even higher than the previous estimate for 54.5 million tonnes, the Buenos Aires Grains Exchange said on Thursday. Argentina is the world's No. 3 soybean supplier and top exporter of soyoil and soymeal, and production has soared this year due to a record sowing area and favorable weather that has boosted crop yields.
- Argentina's 2009/10 soy harvest is expected to reach a record 53.9 million tonnes, up from the last estimate for 52.5 million tonnes, Rosario grains exchange said on Wednesday. The exchange held its outlook for 2009/10 corn production at 20.4 million tonnes.
- USDA's weekly export sales report on Thursday showed U.S. export sales of soymeal last week at 57,500 tonnes, below estimates for 75,000 to 200,000 tonnes. USDA's weekly export sales report on Thursday showed U.S. export sales of soyoil last week at 2,000 tonnes, below estimates for 5,000 to 15,000 tonnes.
- Pakistani importers have booked orders for 300,000 bales in recent days, after India stopped registering new contracts for exports from April 19, to control soaring prices, said Naseem Usman, chairman of the Karachi-based Cotton Brokers Forum.

FUNDAMENTAL OUTLOOK
- We expect refined oil and Palm oil to trade up today; buying at dips is recommended. RM seed too looks strong today; buying at every dip is recommended. Over strong complex is likely to support the prices of Soybean as well.

GUAR, PULSES AND GRAINS COMPLEX

MARKET ROUNDUP
- Wheat and Chana rose by almost 1% on robust spot demand yesterday. Guar complex witnessed some bargain buying and ended positive.

IN FOCUS
- Wheat prices are up by about 5-10 percent in India's biggest wheat producing state, Uttar Pradesh, following withdrawal of stock limit, traders said. "Wheat prices were between 990- 1080 rupees per 100 kg on April 29 in Allahabad, Varanasi, Shahjahanpur, Kanpur and Meerut markets.
- Wheat rose the most in a week on speculation that a weaker dollar will boost demand for supplies from the U.S., the world's biggest exporter. Wheat is the fourth-biggest U.S. crop, valued at $10.6 billion in 2009, behind corn, soybeans and hay, government data show.
- Monsoon is likely to be normal this year, the government said on Friday, allaying fears over an event crucial to the economic fate of the world's second-most populous nation. India's state-run firms had procured 18.01 million tonnes of wheat in the 2009/10 marketing season that began in April, a government release said on April 26. The procurement during the same period the previous year was 17.68 million tonnes.
- Churi and korma, the byproducts of guar seed, are used as cattle feed and demand generally picks up in summer with the shortage of green grass. Demand is good in physical market. But traders are now focusing on monsoon forecast.

FUNDAMENTAL OUTLOOK
- Outlook for Wheat and Chana remains bullish today; buying at dips is recommended. Gaur may trade side-ways today.

SPICES COMPLEX

MARKET ROUNDUP
- Spices witnessed sharp buying n yesterday's trading session with Cardamom, Pepper, Jeera and Turmeric ended up. Mentha oil plunged by almost 3% on the back of lesser export demand.

IN FOCUS
- Cardamom futures prices rose by Rs 15.30 or 1.23 per cent at Rs 1,260 per kg in futures trade today largely on the back of pickup in demand in the spot markets.
- In order to curb speculation, leading commodity bourse MCX on Wednesday increased the amount (margin) investors need to deposit for trading in mentha oil futures by 10%. With this hike, effective from Wednesday, investors need to deposit 19% of the value of mentha oil they intend to take in. Earlier, the margin was only 9%. "As a risk management measure, the exchange has decided to levy a special margin of 10% on buy side in all mentha oil contracts," MCX said.
- Unexpected rain in second largest growing country Turkey after India may damage major part of the Crop of Jeera this year. That may tighten the total supply in the market by almost 15-20%.
- Pepper exports in February 2010 fell 3.22 percent to 1,500 tonnes on year, the Spices Board said. India's pepper output in 2010 is expected around last year's levels, but prices are unlikely to fall sharply in coming months due to low carry-over stocks.
- Shortage of Peeper in domestic and International market and Less carry forward stock tend to increase the prices of Pepper I medium term.

FUNDAMENTAL OUTLOOK
- We expect Spices may extend their upward rally today; buying at dips is recommended. Pepper and Turmeric in particular looks strong today.