Mentha oil futures inch up on improved spot demand

NEW DELHI: Mentha oil prices inched up in futures trade on Wednesday, taking support from an uptick in demand by consuming industries at the spot markets.

Speculators raised bets after demand from consuming industries at the spot market rose amid limited supplies from key producing regions.

Around 12:15 pm, MCX Mentha oil was at Rs 1446.10 per kg, up by Rs 6.10, or 0.42 per cent.


"There is a long position built up by speculators at lower levels. This is on the back of increased demand in the key spot market of Uttar Pradesh. Further, there is resistance at Rs 1,470 which is causing short term profit booking," said Mustafa Nadeem, CEO, Epic Research.

Nadeem expects a continuation of the trend for some time. "Buying from lower levels may continue on dips and price will remain elevated with an upward bias towards Rs 1,525," he said.