This entry was posted on Thursday, April 22nd, 2010 at 4:48 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.
BANGKOK, April 22 (Reuters) – Strong demand led Tokyo rubber
futures to a record high for the spot contract on Thursday though
falling oil prices encouraged investors to liquidate benchmark
distant contracts, dealers said.
* The benchmark rubber contract on the Tokyo Commodity
Exchange <0#JRU:> for September delivery fell 7.2 yen to settle
at 318.3 yen ($3.42) per kg.
* The spot April contract rose 8.5 yen, breaking the new
record to settle at 450.0 yen per kg, the highest ever for any
spot contract.
* “It seems like most investors buy rubber from the spot
April contracts and wait for deliveries instead of buying from
the physical market where supply is still tight,” one dealer
said.
* Dealers said they attributed falls in TOCOM benchmark
contract prices on Thursday to weaker technical sentiment which
went in line with falling oil prices.
* Oil extended losses on Thursday, after edging lower
slightly the previous day when a rise in U.S. crude and refined
product inventories outweighed support from strong Chinese demand
data and the resumption of European airline flights. [O/R]
* However, dealers said TOCOM prices should rebound and
remain firm over the next few weeks as seasonal falling supply on
the physical market should still support.
($1=93.13 Yen)
Source: Reuters