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Monday, January 24, 2022

Rubber Trades Near Lowest in Nine Months on China Demand Concern

Rubber declined, heading for a fifth monthly loss, amid concern that demand may weaken fromChina, the world’s largest consumer of the commodity used in tires.

The contract for delivery in November on the Tokyo Commodity Exchange fell as much as 1.3 percent to 233.3 yen a kilogram ($2,376 a metric ton), nearing a nine-month low of 228 yen reached on June 21. Futures traded at 234.1 yen at 11:17 a.m., extending losses for this month to 9 percent.

TOCOM Rubber Futures Prices on Monday, June 24, 2013 (yen/kilogram)

Month

Last Settlement Price

Open

High

Low

Current

Change

Volume

Jun 2013

232.0

232.0

232.0

229.5

229.5

-2.5

325

Jul 2013

232.8

233.8

235.0

229.8

229.8

-3.0

70

Aug 2013

232.8

234.3

235.8

230.7

231.4

-1.4

67

Sep 2013

233.1

234.0

236.0

231.5

231.5

-1.6

61

Oct 2013

234.6

236.7

237.3

232.0

232.4

-2.2

215

Nov 2013

236.3

238.0

238.8

233.3

234.7

-1.6

4,188

Total

 

4,926

Goldman Sachs lowered its forecast for China’s gross domestic product to 7.4 percent in 2013 from 7.8 percent, citing soft cyclical signals and recent tightening of financial conditions. The bank also cut China’s growth forecast for 2014 to 7.7 percent from 8.4 percent. Rubber futures in Shanghai traded near the lowest level in more than three years.

“Bearish sentiment in Shanghai spilled over into the Tokyo market,” Hideshi Matsunaga, an analyst at broker ACE Koeki Co., said by phone today.

China consumed 3.85 million tons of natural rubber last year, representing 34 percent of global consumption, according to the International Rubber Study Group.

The contract for September delivery on the Shanghai Futures Exchange declined 1.4 percent to 17,255 yuan ($2,810) a ton. It slid to 17,000 yuan on June 21, the lowest level since 2009.

SHFE Rubber Futures Prices on Monday, June 24, 2013 (Yuan (RMB)/ton)

Contract

Last

Chg

Open Interest

Volume

Turnover

Bid-Ask

Pre-clear

Open

Low

High

ru1307

16850

-170

1000

116

19645400

16815/16840

17020

17115

16815

17115

ru1308

17110

-95

902

48

8240800

16975/17025

17205

17280

17050

17280

ru1309

17170

-180

171054

210958

36458237400

17165/17170

17350

17490

17125

17525

ru1310

17335

-140

396

404

70333000

17280/17320

17475

17575

17335

17615

ru1311

17370

-125

2740

134

23447400

17365/17400

17495

17685

17370

17685

ru1401

17950

-200

106080

149794

27067082400

17950/17955

18150

18260

17920

18330

ru1403

18300

-100

104

12

2195900

18200/18265

18400

18330

18260

18335

ru1404

18390

-245

108

26

4803600

18400/18440

18635

18575

18390

18575

ru1405

18535

-210

988

570

106351500

18525/18555

18745

18905

18510

18980

ru1406

18920

-50

8

0

18390/19060

18970

 

Natural-rubber inventories rose for a third week by 48 tons to 114,556 tons, based on a survey of nine warehouses in Shanghai, Shandong, Yunnan, Hainan and Tianjin, the bourse said June 21.

Thai rubber free-on-board dropped 0.6 percent to 85.95 baht ($2.76) a kilogram June 21, according to the Rubber Research Institute of Thailand.

Source: Bloomberg

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