TOKYO, Jan 10 (Reuters) – Key TOCOM rubber futures hit a fresh eight-month high on Thursday, rising as much as 2.8 percent, after stronger-than-expected Chinese trade data boosted speculative buying, but profit-taking quickly emerged to settle the index up 1.7 percent.
“Oil and shares were strong, while China’s positive data added momentum,” said Toshitaka Tazawa, an analyst at trading house Fujitomi Co. “We expect the positive momentum to continue at least until the end of this month,” he said.
The key Tokyo Commodity Exchange rubber contract for June delivery <0#2JRU:> settled up 1.7 percent, or 5.3 yen, at 313.3 yen per kg. The benchmark contract rose as high as 316.7 yen, up 2.8 percent, the highest since May 2.
China’s December import and export growth beat analyst forecasts, widening the country’s trade balance to $31.6 billion from $19.6 billion in November, and boosting Asian shares.
Trade data from the world’s second-largest economy showed the value of exports grew 14.1 percent last month from a year earlier, racing past the forecasts of analysts polled by Reuters, who had expected annual growth of 4 percent, and accelerating sharply from 2.9 percent in November.
The most active Shanghai rubber contract for May delivery <0#SNR:> closed up 0.7 percent at 26,205 yuan per tonne.
The front-month February rubber contract <0#STF:> on the SICOM in Singapore was last traded at 306 U.S. cents per kg, up 0.7 percent.
Brent crude futures inched up towards $112 per barrel on Thursday after China data, sparking hopes that recovery in the world’s second-biggest oil consumer will drive fuel demand higher.
Japan’s benchmark Nikkei stock average advanced 0.8 percent as the yen resumed its weakening trend after a pause in the last couple of sessions, buoying exporters.
(Reporting by Yuko Inoue; Editing by Anupama Dwivedi)
Source: Reuters
