Tokyo Commodity Exchange (TOCOM) futures, which set the tone for rubber prices in Southeast Asia, have been recovering from this year’s low hit late-September, though trade frictions between the United States and China have spurred worries over rubber consumption especially China.
“There are concerns of violent fluctuations in rubber prices amid US-China trade issues,” said a Japanese brokerage source.
The Tokyo Commodity Exchange rubber contract for March delivery finished 2.9 yen lower at 169.5 yen (US$1.49) per kg. The contract touched a one-month high of 174.2 yen in the previous session.
China’s financial markets are closed this week for the National Day holiday.
The front-month rubber contract on Singapore’s SICOM exchange for November delivery also fell from a near two-week high hit a day earlier and last traded at 133.1 US cents per kg, down 0.9 cent.
(US$1 = 113.8200 yen)