Tocom rubber futures settle 3.6% higher, tracking gains in Shanghai rubber, which is up as the Chinese government is speeding up infrastructure proejcts to boost the economy. Okato Shoji General Manager Kaname Gokon notes Tocom prices have been moving in a wide Y215-Y230/kg band over the past few weeks, which they are unlikely to break out of short term, as investors are cautious amid macroeconomic uncertainty; he pegs the center of the range at Y224/kg; “there are no real fundamental reasons for the moves, as there’s a lot of day trading going on,” he says. Investors will be looking toward a ECB policy meeting later Thursday for further cues. Benchmark February rubber settles Y7.9 higher at Y227/kg, near the intraday high of Y227.3/kg.

Source: Dow Jones

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