SINGAPORE: Japanese rubber futures fell on Wednesday amid lower oil prices and cautious trading ahead of the upcoming US consumption data, although weather concerns in top producer Thailand limited losses. The Osaka Exchange (OSE) rubber contract for August delivery closed down 1.5 yen, or 0.5%, at 301.1 yen ($2.00) per kg, logging a two-day low.
The rubber contract on the Shanghai Futures Exchange (SHFE) for May delivery rose 25 yuan to finish at 13,965 yuan ($1,939.80) per metric ton.
Oil prices pulled back as the prospect of a delay in the US rate-cutting cycle and a rise in US crude stocks offset a boost on Tuesday from news OPEC+ might extend its output cuts. Natural rubber often takes direction from oil prices as it competes for market share with synthetic rubber, which is made from crude oil. The Conference Board said US consumer confidence retreated in February after three straight monthly increases amid worries about the labour market and the domestic political environment.
Source: Brecorder
