TOKYO, Feb 22 (Reuters) – Benchmark TOCOM rubber futures edged lower on Monday, giving up some gains from last week when the contract booked its first weekly gain in four, as another downturn in oil prices on Friday and a firmer yen weighed on market sentiment.
FUNDAMENTALS
The Tokyo Commodity Exchange rubber contract for July delivery JRUc6 0#2JRU: was down 0.4 yen, or 0.3 percent, at 152.8 yen ($1.36) per kg as of 0041 GMT, after marking a 4.1 percent gain last week. RUB/T
Worries about a global slowdown will keep investors focused on early indicators of stress this week, looking for signs that resilient domestic demand in Europe and the U.S.can sustain growth in spite of emerging markets struggles.
MARKET NEWS
Oil prices fell 4 percent on Friday, with Brent down a third straight week, as record high U.S.crude stockpiles intensified worries that a plan to freeze world output will do little or nothing to reduce massive oil supplies already in the market.
The yen rose to a one-week high against the U.S.dollar on Friday after yet another downbeat session for oil prices and stock markets worldwide, underscoring worries about global growth.
The yen traded at 112.64 yen JPY= in early Monday trade.
Japan’s benchmark Nikkei stock average (XC0009692440) got off to a cautious start on Monday as investors await a rush of February industry surveys to take the pulse of the global economy. MKTS/GLOB
DATA/EVENTS (GMT)
The following data is expected on Monday: (Time in GMT)
0830 Germany Markit manufacturing flash PMI Feb
0900 Euro zone Markit manufacturing flash PMI Feb
1330 U.S. National activity index Jan
1445 U.S. Markit manufacturing flash PMI Feb
($1 = 112.6200 yen)
(Reporting by Yuka Obayashi; Editing by Richard Pullin)
