TOKYO, Aug 16 (Reuters) – Benchmark TOCOM rubber futures inched to a 3-week high on Tuesday, as investors unwound short positions on the back of firmer Shanghai futures and hopes that Beijing could unleash fresh economic stimulus.
FUNDAMENTALS
The Tokyo Commodity Exchange rubber contract for January delivery JRUc6 0#2JRU: was up 0.1 yen, or 0.1 percent, at 159.0 yen ($1.58) per kg as of 0123 GMT, after earlier climbing to its highest since July 25 at 160.2 yen.
The most-active rubber contract on the Shanghai Futures Exchange, for January delivery SNRcv1 , was up 0.5 percent at 13,115 yuan ($1,976.04) per tonne as of 0123 GMT.
China reported weaker-than-expected investment, lending, retail spending and factory output data on Friday, on top of weak trade numbers, keeping alive hopes the government will roll out more support measures this year to meet its ambitious economic growth targets.
MARKET NEWS
The U.S. dollar was flat against the yen at 101.250 yen JPY= after spending the previous day stuck between 101.460 and 100.870. FRX/
Japan’s benchmark Nikkei stock average (XC0009692440) edged lower in Tuesday trade, despite investor expectations of continued easy monetary policy around the globe. MKTS/GLOB
Oil prices edged away from 5-week highs on Tuesday, with traders cashing in on a 16-percent rally since early August that has largely been fuelled by talk of producers taking action to prop up the market.
DATA/EVENTS (GMT)
The following data is expected on Tuesday: (Time in GMT)
0830 Britain Consumer prices Jul
0900 Germany ZEW economic sentiment Aug
1230 U.S. Consumer prices Jul
1230 U.S. Housing starts Jul
1230 U.S. Building permits Jul 1315 U.S. Industrial output Jul
($1 = 100.9500 yen)
($1 = 6.6370 Chinese yuan renminbi)
(Reporting by Yuka Obayashi; Editing by Joseph Radford)
