TOKYO, Sept 6 (Reuters) – Benchmark TOCOM rubber futures extended gains into a fourth straight session on Tuesday, hovering near a 3-week high after crude oil futures hit a 1-week high overnight after Saudi Arabia and Russia singed an oil pact.
FUNDAMENTALS
The Tokyo Commodity Exchange rubber contract for February delivery JRUc6 0#2JRU: was up 0.5 yen, or 0.3 percent, at 159.0 yen ($1.54) per kg by 0052 GMT, after hitting the highest since Aug. 16 at 160.0 yen the previous day. RUB/T
Saudi Arabia and Russia agreed on Monday to cooperate in world oil markets, saying they will not act immediately but could limit output in the future, sending prices higher on hopes the two top oil producers would work together to tackle a global glut.
Chinese households, traditional savers with an aversion to debt, are rapidly warming to the idea of borrowing to buy a car, as automakers push financing deals to boost sales and margins in an increasingly competitive market.
MARKET NEWS
Crude oil futures touched a one-week high before paring gains on Monday after top producers Russia and Saudi Arabia confirmed they had agreed to cooperate on stabilising the oil market, and raised hopes of limiting output in the future.
The yen kept some distance from a one-month low against the dollar on Tuesday after Bank of Japan Governor Haruhiko Kuroda held back from signalling further easing. The dollar was quoted at 103.45 yen JPY= in early Tuesday, having fallen nearly a full yen from Friday’s one-month high of 104.32. FRX/
Japan’s benchmark Nikkei stock average (XC0009692440) was steady in Tuesday trade, mostly in a holding pattern after Monday’s U.S.holiday.
DATA/EVENTS (GMT)
The following data is expected on Tuesday: (Time in GMT)
0600 Germany Industrial orders Jul
0900 Euro zone Revised GDP Q2
1400 U.S. ISM non-manufacturing PMI Aug
1400 U.S. Employment trends Aug
($1 = 103.5600 yen)
(Reporting by Yuka Obayashi; Editing by Richard Pullin)
