This entry was posted on Wednesday, September 17th, 2008 at 1:43 pm and is filed under Rubber News. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.
TOKYO, Sept 17 (Reuters) – Tokyo rubber futures rose 2 percent on Wednesday as reports that insurer American International Group would be rescued allayed growing financial fears and helped the dollar rise against the yen.
* The key Tokyo Commodity Exchange rubber contract for February delivery <0#JRU:> rose 2.1 percent to as high as 292.4 yen per kg, but later eased to 290.1 yen at 0135 GMT.
* The benchmark contract had closed down by its 16-yen daily limit at 286.4 yen per kg on Tuesday, a decline of 5.3 percent from Friday’s close and a near five-month low. TOCOM was closed on Monday for a national holiday.
* The dollar jumped to 106.50 yen , extending Tuesday’s sharp rise from a four-month low of 103.54 yen, after reports that the Federal Reserve would rescue insurer AIG. [USD/]
* Reports that AIG was likely to avoid bankruptcy also helped lift crude oil with U.S. crude for October delivery rising more than $3 to above $94 a barrel. [O/R]
Source: Reuters