TOKYO, Nov 5 (Reuters) – Benchmark TOCOM rubber futures hovered near a 6-year low on Thursday as bargain hunting after three straight sessions of losses was offset by selling on persistent fears about slowing demand in top buyer China.
FUNDAMENTALS
- The Tokyo Commodity Exchange (TOCOM) rubber contract for April delivery JRUc6 0#2JRU: was unchanged at 155.7 yen ($1.28) per kg as of 0112 GMT, after hitting its lowest level since July 2009 the previous day. RUB/T
- Federal Reserve Chair Janet Yellen on Wednesday pointed to a possible December interest rate “liftoff” but said rates would rise only slowly from then on to nurture the U.S.economic recovery.
- The U.S. auto industry is on track for a record year of annual sales, General Motors Co (GM) said on Tuesday, as the top U.S.automaker and its rivals reported October sales that far exceeded expectations.
MARKET NEWS
- The U.S. dollar rose against the yen to 121.42 yen JPY= early on Thursday, following a jump in U.S. Treasury yields as Federal Reserve officials hammered home the message that a December “liftoff” in U.S.rates is a distinct possibility.
- Japan’s benchmark Nikkei stock average (XC0009692440) was up 0.5 percent in Thursday trade despite a drop in Wall Street stocks after Fed Chiar Yellen’s comment on a possible December interest rate hike. MKTS/GLOB
- Crude oil futures fell 4 percent on Wednesday, wiping out gains from the previous day’s rally, as a strong dollar, tumbling gasoline prices and rising U.S.crude inventories bore down on the market.
DATA/EVENTS (GMT)
The following data is expected on Thursday: (Time in GMT)
- 0700 Germany Industrial orders Sep
- 1000 Euro zone Retail sales Sep
- 1330 U.S. Weekly jobless claims
($1 = 121.4100 yen)
(Reporting by Yuka Obayashi; Editing by Richard Pullin)
