This entry was posted on Thursday, February 12th, 2009 at 9:30 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, Feb 12 (Reuters) – Key Tokyo rubber futures finished lower on Thursday, ending a six-day rally to touch a one-week low, as cautious investors refrained from betting heavily in either direction.
* The key Tokyo Commodity Exchange rubber contract for July delivery <0#JRU:> finished at 140.6 yen per kg, down 4.2 yen, or about 3 percent from Tuesday, after earlier sinking to an intraday trough of 137.8 yen, the lowest level since Feb. 4.
* TOCOM was closed on Wednesday for a national holiday.
* Prices have mostly stayed in a narrow range on both sides of 140 yen for the past month as investors remained cautious about moves to support prices by rubber producers, particularly the world’s top three, Thailand, Indonesia and Malaysia.
* “The line of resistance is around 145 yen, with both buyers and sellers cautious about moves from producers to prop up prices,” a Tokyo-based broker said.
* The three top producers agreed in December to cut exports by 915,000 tonnes in 2009 to support prices which have halved since a 56-year high in July.
* NYMEX crude for March delivery edged up above $36 a barrel on Thursday. It fell over 4 percent overnight, following data that showed a jump in crude stocks and after the International Energy Agency said demand would stay weak. [O/R]
* Chinese buyers bought up to 2,500 tonnes of rubber from Indonesia to replenish stocks but turned their backs on Thai grades after tight supplies lifted prices, dealers said on Wednesday. [ID:nSP419303]
* China imported 60,000 tonnes of natural rubber in January, a sharp 65 percent fall from a year earlier, the General Administration of Customs said on Wednesday. [ID:nSHA42920]
* Asian physical prices fell, reflecting the weakness on TOCOM, but prices drew support from the seasonal decline in rubber supplies.
PRICES OF ASIAN PHYSICAL RUBBER COMPARED WITH WEDNESDAY
Grade Price Change
Thai RSS3 (Mar) $1.50/kg -$0.02
Thai RSS3 (Apr) $1.50/kg -$0.02
Thai STR20 (Mar) $1.38/kg -$0.04
Thai STR20 (Apr) $1.38/kg -$0.04
Malaysia SMR20 (Mar) $1.38/kg -$0.02
Malaysia SMR20 (Apr) $1.38/kg -$0.02
Indonesia SIR20 (Mar) $0.59/lb -$0.01
Indonesia SIR20 (Apr) $0.59/lb -$0.01
Thai USS3 46 baht/kg -1 baht
Thai 60-percent latex (drums, Mar) $1,200/tonne unchanged
Thai 60-percent latex (bulk, Mar) $1,080/tonne unchanged
Source: Reuters