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TOKYO, Oct 2 (Reuters) – Key Tokyo rubber futures eased and briefly fell below 200 yen on Friday as a decline in crude oil prices sparked selling.
* The key Tokyo Commodity Exchange rubber contract for March delivery <0#JRU:> was at 200.9 yen per kg, down 1.5 yen or 0.7 percent from the previous settlement. It earlier fell nearly 2 percent to a low of 198.6 yen.
* Oil dropped by more than $1 to below $70 a barrel on Friday, driven lower by the dollar’s recovery and concerns over U.S. employment data, while worries over the West’s talks with Iran about the OPEC member’s nuclear plan eased. [O/R]
* U.S. non-farm payrolls data due later in the day will likely fall to 180,000 in September.
* The dollar was slightly weaker on the yen at 89.44 yen, down from 89.69 yen late in New York on Thursday. [USD/]
* Tokyo rubber futures are likely to slip in October due to a firming yen but tight supplies in producing countries and expectations of steady demand from China could cushion the fall, a Reuters poll showed on Thursday. [ID:nSP345638]
* Traders cited concerns about serious supply shortages after a powerful earthquake in Indonesia disrupted roads.
* A deadly earthquake in the Indonesian port city of Padang could delay the shipment of between 10,000 and 20,000 tonnes of rubber in October, dealers said on Friday, less than earlier feared due to tight supplies.
* The Indonesian Rubber Association had said about 50,000 tonnes of rubber for shipment in October and November was probably delayed. Padang normally exports 25,000 tonnes of rubber a month but dealers said difficulties in getting raw material during the dry wintering season affected shipments. ID:nSP271798]
* China, the top rubber consumer, began its eight-day National Day holiday on Thursday.
Source: Reuters