Rubber prices ended higher Monday driven by short-covering, but traders said the market fundamentals largely remained bearish due to concerns of oversupply as demand softened.
Earlier this month, the world’s top three rubber producers agreed to cut exports collectively by nearly 20% for a six- month period starting in March in a bid to boost prices.
The trader said the Tocom rubber price was roughly at the same level prior to the weeklong Lunar New Year holiday that shut Chinese markets. This shows that market fundamentals have largely remained the same now that the Chinese traders are back in the game, he said.
Asian Rubber Futures
Feb 15 Change from previous close
Tocom July RSS3 Y153.5/Kg Up Y6.5/kg
Shanghai May SCR5 CNY10,330/Kg Up CNY 95/Ton
Thai Sept RSS3 THB44.80/Kg Up THB 2.05/Kg
Sicom May RSS3 CNY130/Kg Up CNY 5.0 cents/Kg
Sicom May TSR20 CNY109.80/Kg Up CNY 3.8 cents/Kg
Asian Physical Rubber
Grade Shipment Feb 15 Feb 12
RSS3 Mar/Apr 128-129 123-124
STR20 Mar/Apr 110-111 108-109
SIR20 Mar/Apr 109-110 106-107
SMR20 Mar/Apr 108-109 105-106
SVR3L Mar/Apr 125-126 125-126
USS Feb THB37.77-THB37.94/Kg THB36.37-THB36.70/Kg
