This entry was posted on Monday, May 30th, 2011 at 4:21 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, May 30 (Reuters) – Tokyo rubber futures ended slightly higher on Monday as sentiment improved after the benchmark broke above major resistance at 390 yen, but weaker oil prices and profit-taking capped gains, dealers said.
The benchmark rubber contract on the Tokyo Commodity Exchange <0#JRU:> for November delivery rose 3.4 yen to settle at 390.4 yen ($4.832) per kg.
The most active Shanghai rubber contract for September delivery fell 195 yuan to settle at 32,555 yuan ($5,013.796) per tonne.
“Players continued to buy contracts after prices broke above 390 yen, but falling oil triggered stop-loss selling and dragged prices down,” one dealer said.
Brent crude fell below $115 a barrel on Monday, weighed down by expectations that OPEC’s oil output in May would come in higher than April. [O/R]
Dealers said TOCOM prices could rise further on Tuesday but prices would be trapped in a narrow range with 400 yen seen as a key resistance point.
($1 = 80.795 Japanese Yen)
($1 = 6.493 Chinese Renminbi)
Source: Reuters