TOKYO, Dec 15 (Reuters) – Benchmark TOCOM rubber futures jumped nearly 4 percent on Thursday to hit their highest in three years, with speculators continuing to buy following a rally in Shanghai futures.
FUNDAMENTALS
The Tokyo Commodity Exchange rubber contract for May delivery JRUc6 0#2JRU: had risen 10.3 yen, or 3.8 percent, to 282.6 yen ($2.40) per kg by 0041 GMT. In evening trade, it surged to its highest since September 2013 at 288.8 yen.
The U.S.Federal Reserve raised interest rates on Wednesday and signalled a faster pace of increases in 2017 as central bankers adapted to the incoming Trump administration’s promises of tax cuts, spending and deregulation.
Shares of U.S. automakers General Motors Co GM.N and Ford Motor Co F.N skidded on Wednesday after a Chinese official warned the government could slap a penalty on an unnamed U.S.automaker for monopolistic behaviour.
MARKET NEWS
The U.S. dollar surged more than 1.5 percent overnight to a 10-month high of 117.400 yen JPY= .A weaker yen makes yen-denominated assets more affordable when purchased in other currencies.
Japan’s benchmark Nikkei stock average (XC0009692440) edged higher on Thursday despite Wall Street’s biggest percentage decline overnight since before the Nov. 8 U.S.presidential election, hit by the Fed rate hike.
Oil prices slid more than 3 percent on Wednesday as the dollar jumped. O/R
DATA/EVENTS (GMT)
The following data is expected on Thursday: (Time in GMT)
0800 France Markit manufacturing flash PMI Dec
0830 Germany Markit manufacturing flash PMI Dec
0900 Euro zone Markit manufacturing flash PMI Dec
0930 Britain Retail sales Nov
1200 Bank of England interest rate decision
1330 U.S. Consumer prices Nov
1330 U.S. Current account Q3
1330 U.S. New York Fed manufacturing Dec
1330 U.S. Weekly jobless claims
1330 U.S. Philly Fed business index Dec
1500 U.S. NAHB housing market index Dec
($1 = 117.6100 yen)
(Reporting by Yuka Obayashi; Editing by Joseph Radford)
