Overnight gains in crude oil coupled with weakening Japanese yen lifted rubber prices on the TOCOM exchange. The benchmark August rubber futures are up more than 1.5 per cent on Thursday, reversing previous day’s losses. SHFE rubber futures gained as well.
In the local market on Wednesday, the commodity came under hammer after the recent bounce. Quotes for RSS4 in the physical market slipped from more than five week highs. Subdued demand and weak cues from the overseas market weighed on.
Indian Rubber Institute would conduct an international rubber conference, Rubbercon, in Chennai from March 1 to 3.
Thailand’s military-led government on Tuesday approved about 87 billion baht ($2.43 billion) in loans to help farmers who have been hit hard by falling commodity prices and widespread drought.
TOCOM February rubber futures expired with 156 lots (1 lot=5tonne) being delivered compared to 131 delivered in January.
According to the Rubber Board, natural rubber imports in the country Jumped 21 per cent in January to 35174 tonnes compared to a year ago while production was 56000 tonnes, down 3.4 percent.
Rubber inventories in warehouses monitored by the Shanghai Futures Exchange rose 0.2 percent to 275897 tonnesfrom last release on Feb 05.
Crude rubber inventories at Japanese ports stood at 12,870 tonnes as of Jan. 31, up 11.8 percent from the last inventory date, data from the Rubber Trade Association of Japan showed.
Kerala government allocates five billion rupees for rubber farmers in the 2016-17 Budget.
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