TOKYO, April 11 (Reuters) – Benchmark TOCOM rubber futures rose more than three percent on Monday, recovering from a 1-week low hit last week after a sharp gain in oil prices prompted a flurry of fresh buying.
FUNDAMENTALS
The Tokyo Commodity Exchange rubber contract for September delivery JRUc6 0#2JRU: was up 6.6 yen, or 3.7 percent, at 183.6 yen ($1.70) per kg as of 0032 GMT, after touching a high of 184.6 yen, the highest since last Wednesday.It fell to a one-week low last Friday on a firmer yen.
China’s economic indicators showed signs of improvement in the first quarter but a sluggish world economy and volatile markets deprive the changes of a solid basis, state television quoted Premier Li Keqiang as saying on Friday.
MARKET NEWS
Oil prices rose more than 6 percent on Friday to end with the biggest weekly gain in a month as drawdowns in U.S.crude stockpiles fed hopes that a punishing global oversupply may be approaching a tipping point after nearly two years.The U.S. dollar fetched 107.99 yen JPY= – not far off a trough of 107.67 set on Thursday, nursing a 3.3 percent drop last week. A break there could see it test the October 2014 low around 105.20.
Japan’s benchmark Nikkei stock average (XC0009692440) was down 1.4 percent in Monday trade, as strong yen cast worries on Japan Inc’s earnings. .T
DATA/EVENTS (GMT)
The following data is expected on Monday: (Time in GMT)
0130 China Producer prices Mar
0130 China Consumer prices Mar
0800 Italy Industrial output Feb
($1 = 107.9700 yen)
(Reporting by Yuka Obayashi; Editing by Richard Pullin)
