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BANGKOK, Jan 7 (Reuters) – Tokyo rubber futures ended 3.8
percent lower on Wednesday, reversing early gains as weaker oil
prices spurred technical selling.
* The benchmark rubber contract on the Tokyo Commodity
Exchange <0#JRU:> for June delivery fell 5.9 yen, or 3.8 percent,
to settle at 148.7 yen ($1.59) per kg.
* TOCOM rubber had risen 6.6 percent on Tuesday, buoyed by
Shanghai rubber futures , which hit their upside limit for
a third day. As a result, trading in Shanghai was halted on
Wednesday, the exchange said.
* Weaker oil prices triggered stop-loss selling on Wednesday
and also spurred profit-taking by investment funds, dealers said.
* At 0843 GMT, oil was at $48.49 a barrel, after weak U.S.
economic data sparked a bout of profit-taking overnight,
outweighing escalating tensions in the Middle East and widening
supply cuts from the Russian gas row.
* The market was supported by tightening supplies due to the
approaching wintering dry season in major producing countries
such as Thailand, traders said.
PRICES OF ASIAN PHYSICAL RUBBER COMPARED WITH TUESDAY
Grade Price Change
Thai RSS3 (Feb) $1.58/kg +$0.03
Thai RSS3 (Mar) $1.58/kg +$0.03
Thai STR20 (Feb) $1.55/kg +$0.05
Thai STR20 (Mar) $1.55/kg +$0.05
Malaysia SMR20 (Feb) $1.55/kg +$0.05
Malaysia SMR20 (Mar) $1.55/kg +$0.05
Indonesia SIR20 (Feb) $0.68/lb +$0.02
Indonesia SIR20 (Mar) $0.68/lb +$0.02
Thai USS3 46 unchanged
Thai 60-percent latex (drums, Feb) $1,150 unchanged
Thai 60-percent latex (bulk, Feb) $1,050 unchanged
Source: Reuters