<p></p><p>The cashew market has shown some buoyancy since the beginning of the year, with the prices moving up by 5-6 per cent from a low range of $3.10-3.30 to $3.35-3.50 an lb (fob) last week.During the past couple of weeks, there was a fair amount of business with several markets and business was done for W240 up to $3.75-3.80, W320 up to $3.40-3.50, SW320 up to $3.25-3.30 an lb (fob), trade sources in Mumbai said.</p> <p>However, no trading has taken place in other grades. Nominal levels last week were for W450 at around $3.25, Splits and Butts from $2.30 to $2.50, Pieces from $2.15 to $2.40 an lb (f.o.b).Indian domestic market was by and large steady. There was a slight revival in buying but that did not result in any hike in prices during the last fortnight, Mr Pankaj N Sampat, a Mumbai-based dealer toldBusiness Line.Vietnam domestic market (China) was quiet. China bought lower volumes so far before their New Year, but paid good pries for better quality product, he said.Raw cashew nut market continued to remain paralysed, he said. Despite lack of buying interest, Tanzania is not reducing their floor price. During the last two weeks, there was a talk of smaller than expected crops in Mozambique and Brazil. </p><p> Also, there were reports of possible delay in Vietnam crop. There was no adverse news from West Africa or India, except for the damage in some regions in Northern Tamil Nadu due to the year-end cyclone. All these may not have much impact in a market which has seen lower usage in the last few months besides facing an uncertainty of future usage coupled with adequate RCN stocks for the time being.As discussed earlier, a reasonable view on 2012 supply will be possible by April/May, and until then, there could be a lot of volatility due to the uncertainty, he said. </p><p>The recent activity in the kernel seems to be inventory rebuilding and filling part of the needs for next few months considering that prices have dropped by about 30 per cent from the peak and are close to the average of last 4 years.“We continue to feel that until there is a better indication of 2012 demand trend and supply and some stability in the economic situation, very little long term business will be done,” he said.The continued short term buying and selling will keep the market volatile, although the range of movement will be smaller than what we have seen in the last 18 months (up 40 per cent and down 30 per cent to return to old range), Mr Pankaj claimed. </p><p>Unless there is a dramatic fall in the RCN price, downside from current range is limited, he said.</p> <p> </p><br><p></p>