0 C
New York
Friday, January 28, 2022

Tokyo rubber futures rise on bargain-hunting, capped by weaker oil

TOKYO, June 16 (Reuters) – Benchmark TOCOM rubber futures edged higher on Thursday on bargain-hunting, but gains were capped by pressure from weaker oil prices and a firmer yen.

FUNDAMENTALS

The Tokyo Commodity Exchange rubber contract for November delivery JRUc6 0#2JRU: was up 0.3 yen, or 0.2 percent, at 150.2 yen per kg as of 0046 GMT.It hit a 4-month low before rebounding to end higher the previous day.

The Federal Reserve kept U.S.interest rates unchanged on Wednesday and signaled it still planned to raise rates twice in 2016, though it said slower economic growth would crimp the pace of monetary policy tightening in future years.

The Bank of Japan is expected to keep monetary policy steady on Thursday even as volatile financial markets, sluggish global growth and anaemic inflation keep policymakers under pressure to do more to reflate the economy out of stagnation.

Betting odds indicate the implied probability of a British vote to stay in the European Union is 62 percent, according to Betfair.

The implied probability of an In vote fell on Tuesday to around 55 percent but then recovered to around 62 percent later in the day, according to Betfair.

MARKET NEWS

The U.S. dollar was quoted around 105.61 yen JPY= early on Thursday.It dropped to its lowest in more than two years after the Fed statement.

A stronger yen makes yen-denominated assets less affordable when purchased in other currencies. FRX/

Oil prices fell for a fifth straight day on Wednesday, their longest losing stretch since February, on worries Britain might leave the European Union while the Fed signaled plans for two U.S.rate hikes this year despite slower growth expectations.

Japan’s benchmark Nikkei stock average (XC0009692440) was down 0.7 percent in Thursday trade, after Wall Street fell for a fifth straight session the previous day after the Fed left interest rates unchanged. MKTS/GLOB

DATA/EVENTS (GMT)

The following data is expected on Thursday: (Time in GMT)

0900 Euro zone Inflation final May

1100 Bank of England announces interest rate decision

1230 U.S. Consumer prices May

1230 U.S. Weekly jobless claims

1230 U.S. Philly Fed business index Jun

1400 U.S. NAHB housing market index Jun Bank of Japan announces its monetary policy decision

(Reporting by Yuka Obayashi; Editing by Joseph Radford)

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay Connected

11,093FansLike
12,893FollowersFollow
752FollowersFollow
- Advertisement -

Latest Articles

Popular Articles