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15 Dec 2015: Tokyo rubber futures steady in thin trade, Fed in focus

TOKYO, Dec 15 (Reuters) – Benchmark TOCOM rubber futures were steady on Tuesday in thin trade ahead of a widely expected U.S.interest rate increase by the Federal Reserve this week.

FUNDAMENTALS

The Tokyo Commodity Exchange rubber contract for May delivery JRUc6 0#2JRU: was up 0.2 yen at 166.5 yen ($1.37)per kg by 0112 GMT, after falling for a third session the previous day. RUB/T

Once the Fed lifts interest rates from near zero, the focus will turn to the other legacy of the crisis-era policies: the Fed’s swollen balance sheet.

It ends its two-day policy meeting on Wednesday.

Chinese leaders, meeting ahead of an agenda-setting conference, pledged on Monday to keep the country’s economic growth in a “reasonable range” in 2016 by expanding domestic demand and making supply-side improvements.

MARKET NEWS

U.S.crude rose nearly 2 percent Monday, recovering slightly after moving within a hair of 11-year lows, but analysts and traders said it is still too early to declare the market has reached its bottom.

Japan’s benchmark Nikkei stock average (XC0009692440) was down 0.5 percent in Tuesday trade, after ending at a six-week low the previous day. .T

The dollar was flat at 121.04 yen JPY= in early Tuesday trade, having pulled back from a 6-week low of 120.35 the previous day.

Source: Reuters

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This entry was posted on Tuesday, December 15th, 2015 at 4:50 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.

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