TOKYO (Jan 24): Benchmark Tokyo rubber futures extended declines on Wednesday to hit a one-month low, weighed down by sluggish Shanghai futures and the yen’s advance to its highest in four months, brokers said.
Against the yen, the dollar fell below the 110 threshold for the first time in four months. A stronger yen makes yen-denominated assets less affordable when purchased in other currencies.
The Tokyo Commodity Exchange rubber contract for June delivery finished 2.5 yen lower at 204.1 yen (US$1.85) per kg. Earlier in the session, it touched 203.9 yen, the lowest since Dec. 22.
The most-active rubber contract on the Shanghai futures exchange for May delivery fell 145 yuan to finish at 13,775 yuan (US$2,155) per tonne.
The front-month rubber contract on Singapore’s SICOM exchange for February delivery last traded at 150.70 US cents per kg, down 0.3 cent.
(US$1 = 110.0600 yen)
(US$1 = 6.3930 Chinese yuan)
