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TOKYO, March 2 (Reuters) – Tokyo rubber futures slid 4.5
percent on Monday, pressured by demand worries and a rise in the
yen versus the dollar, but prices managed to stay above 130 yen
and trade within recent ranges.
* Rubber on the Tokyo Commodity Exchange has mostly traded in
a tight band on both sides of 140 yen since the beginning of the
year, trapped by demand worries and concerns producers might step
in to support prices.
* “In the absence of fresh news, technical factors are behind
the moves in rubber,” a Tokyo-based trader said.
* The key Tokyo Commodity Exchange rubber contract for August
delivery <0#JRU:> fell about 7 percent to a trough of 130.4 yen
per kg, matching the two-month low marked on Feb. 19.
* The benchmark contract closed at 133.9 yen, down 6.3 yen
from the previous close.
* A rise in the yen versus the dollar in theory deflates
yen-based futures prices. The dollar lost ground to 97.12 yen
on Monday, taking it off three-month highs hit last week
at 98.70 yen. [USD/]
* Sluggish demand is underlined by data showing a seventh
year-on-year fall in February of auto sales in Japan. Automobile
sales excluding 660cc minivehicles fell 32.4 percent in February
from a year earlier to 218,212 vehicles, the Japan Automobile
Dealers Association said on Monday. [ID:nTKU103279]
* Oil prices fell below $44 per barrel on Monday on worries
the deteriorating state of the world economy would further damage
oil consumption. [O/R]
* Rubber inventories in warehouses monitored by the Shanghai
Futures exchange fell 3 percent in the week ended Thursday, the
exchange said on Friday. [ID:nBJD000591]
* The European unit of U.S. carmaker General Motors
said it planned to spin off its German arm Opel and needed 3.3
billion euros ($4.2 billion) in state aid to avert job cuts and
site closures. [ID:nLR307222]
PRICES OF ASIAN PHYSICAL RUBBER COMPARED WITH FRIDAY
Grade Price Change
Thai RSS3 (Mar) $1.45/kg unchanged
Thai RSS3 (Apr) $1.45/kg unchanged
Thai STR20 (Mar) $1.35/kg -$0.02
Thai STR20 (Apr) $1.35/kg -$0.02
Malaysia SMR20 (Mar) $1.35/kg -$0.02
Malaysia SMR20 (Apr) $1.35/kg -$0.02
Indonesia SIR20 (Mar) $0.56/lb unchanged
Indonesia SIR20 (Apr) $0.56/lb unchanged
Thai USS3 45.5 baht/kg -0.5 baht
Thai 60-percent latex (drums, Mar) $1,300/tonne -$50
Thai 60-percent latex (bulk, Mar) $1,200/tonne -$30
Source: Reuters