TOKYO, Sept 4 (Reuters) – Benchmark Tokyo rubber futures jumped more than four percent on Monday, reaching their highest in more than three months, as Shanghai futures hit above the key 17,000-yuan mark, prompting fresh buys in Tokyo.
The Tokyo Commodity Exchange (TOCOM) rubber contract for February delivery finished up 9.5 yen, or 4.3 percent, at 227.9 yen ($2.08) per kg. Earlier in the session, it hit 228.9 yen, its highest since May 24.
“An overnight jump last Friday in Shanghai futures to above the 17,000 yuan ($2,606) level led to a flurry of buys from early trade in Tokyo,” Jiong Gu, analyst, Yutaka Shoji Co said.
“It seems Shanghai got a boost from falling rubber inventories in Qingdao,” he added.
The most-active rubber contract on the Shanghai futures exchange for January delivery soared 550 yuan to finish at 17,165 yuan per tonne.
Higher industrial commodities prices also lent support, Gu added.
London copper hit its highest in three years on Monday as investment flowed into industrial metals amid surprisingly robust global factory growth.
The front-month rubber contract on Singapore’s SICOM exchange for October delivery last traded at 162.9 U.S. cents per kg, up 6.1 cents.
($1 = 109.5200 yen)
($1 = 6.5235 Chinese yuan)
(Reporting by Yuka Obayashi; Editing by Sherry Jacob-Phillips)
