Guar gum prices likely to increase - ur thoughts?

algotrader

Reading some reports that guar gum prices may increase because of demand from oil drilling sector. Currently ₹8500 per quintal for guar gum. Should we stock up now or is this just speculation? Would like to hear from experienced traders.

algotrader

Reply by: CommodityResearcher_Pune
Guar is very speculative commodity bro. Prices can swing 20-30% in matter of weeks. Yes oil drilling demand is factor but crop size is more important. This year crop is average so prices may remain stable or slight increase. Dont take big positions based on just reports.

algotrader

Reply by: Jodhpur_Guar_Processor
I am in guar processing business. Current demand is steady but not exceptional. US oil drilling activity is main driver and that depends on crude prices. If crude stays high then guar demand will be good. But dont expect 2012 type rally when prices went to ₹1.5 lakh per quintal!