SINGAPORE: Japanese rubber futures ended lower on Tuesday, snapping a three-day rally and sliding from a 7-week high hit earlier in the session, as investors took profits ahead of the release of crucial China economic data.
The Osaka Exchange (OSE) rubber contract for June delivery closed down 0.7 yen, or 0.26%, at 265.4 yen ($1.82) per kg. It earlier rose to as high as 268.6 yen, the highest since Nov. 29, 2023.
The rubber contract on the Shanghai Futures Exchange (SHFE) for May delivery rose 40 yuan to finish at 13,875 yuan ($1,931.75) per metric ton.
Investors are awaiting China’s 2023 full-year gross domestic product figures due on Wednesday. China’s December activity data including industrial output, retail sales, and urban investment figures will also be published on Wednesday, which may underscore the fragility of the economy and hint at still cautious consumer spending. The global economy faces a year of subdued growth prospects and uncertainty stemming from geopolitical strife, tight financing conditions and the disruptive impact of artificial intelligence.
The Japanese yen weakened 0.20% to 146.05 against the dollar. The dollar rose on Tuesday as investors pared back bets on near-term rate-cuts by the US Federal Reserve following hawkish comments from European Central Bank officials, while worries of more attacks on ships in the Red Sea weighed on risk sentiment.
Source: Brecorder
