TOKYO, March 7 (Reuters) – Benchmark TOCOM rubber futures jumped to a 6-1/2-month high on Monday, extending gains into a fifth straight session on a broader recovery in commodities after solid U.S.jobs data.
FUNDAMENTALS
The Tokyo Commodity Exchange rubber contract for August delivery JRUc6 0#2JRU: was up 8.1 yen, or 4.6 percent, at 182.7 yen ($1.61) per kg as of 0044 GMT, after touching a high of 184.6 yen, its strongest since Aug.24.
It soared 12.2 percent last week, booking its biggest gain since May 2013. RUB/T
U.S.employment gains surged in February, the clearest sign yet of labour market strength that could further ease fears the economy was heading into recession and allow the Federal Reserve to gradually raise interest rates this year.
China’s economy isn’t headed for a hard landing and isn’t dragging on the global economy, China’s top economic planner said on Sunday, but uncertainty and instability in the global economy do pose a risk to the country’s growth.
The European Central Bank is almost certain to ease policy this week as depressed commodity prices raise the risk of deflation, while a string of data from China will offer clues about the extent of the recent emerging market slowdown.
MARKET NEWS
Oil jumped on Friday, settling 4 percent higher as the strong U.S.jobs data and technical factors encouraged buying that revived this week’s rally after a one-day pause.
Copper prices climbed to their highest in four months on Friday. MET/L
Japan’s benchmark Nikkei stock average (XC0009692440) was down 0.6 percent in Monday trade, after a gauge of stock markets worldwide rose to a two-month high on Friday. MKTS/GLOB
The U.S. dollar was flat at 113.85 JPY= early on Monday.
DATA/EVENTS (GMT)
The following data is expected on Monday: (Time in GMT)
0700 Germany Industrial orders Jan
0930 Euro zone Sentix index Mar
1500 U.S. Employment trends Feb
($1 = 113.6500 yen)
(Reporting by Yuka Obayashi; Editing by Joseph Radford)
