TOKYO, Dec 26 (Reuters) – Benchmark Tokyo rubber futures tumbled more than four percent on Monday to a two-week low, as a plunge in Shanghai futures prompted a flurry of selling. The Tokyo Commodity Exchange (TOCOM) rubber contract for June delivery JRUc6 0#2JRU: finished 10.7 yen, or 4.0 percent, lower at 255.5 yen ($2.18) per kg. It fell as low 252.5 yen during the session, its lowest since Dec.12.
Japanese markets were shut on Friday due to a national holiday. “The selling pressure mounted after Shanghai’s slide accelerated in early trade,” said a Tokyo-based trader who declined to be named.
The most-active rubber contract on the Shanghai futures exchange for May delivery SNRcv1 tumbled 955 yuan to finish at 17,660 yuan ($2,541.56) per tonne. The TOCOM futures, which set the tone for tyre rubber prices in Southeast Asia, were also weighed down by a firmer yen.
The dollar dipped against the yen on Monday, edging down after U.S.Treasury yields dipped on mixed economic data.
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The greenback was at 117.03 yen JPY= in late Monday in Asia, with many key markets shut for the Christmas holidays. FRX/ A stronger yen makes yen-denominated assets less affordable when purchased in other currencies.
Singapore’s SICOM exchange was closed on Monday for a holiday.
($1 = 6.9485 Chinese yuan renminbi)
($1 = 117.0000 yen)
(Reporting by Yuka Obayashi; editing by David Clarke)
