TOKYO, July 10 (Reuters) – Benchmark Tokyo rubber futures fell as much as 3 percent in early trade on Wednesday, hit by selling ahead of Chinese trade data due later in the day that could give clues to the health of the world’s second-biggest economy.
FUNDAMENTALS
* The Tokyo Commodity Exchange (TOCOM) rubber contract for December delivery was trading down 2.6 percent at 235.3 yen per kg as of 0039 GMT.
Expectations that economic growth in top rubber buyer China is moderating, coupled with already high rubber stockpiles in producers like Thailand, Indonesia, Malayasia, weighed on prices early on Wednesday, one Tokyo-based trader said.
* The International Monetary Fund trimmed its global growth forecast on Tuesday for the fifth time since early last year due to a slowdown in emerging economies and the woes in recession-struck Europe.
* Chinese imports of copper and crude oil likely rose month-on-month in June as falling prices spurred purchases, data is expected to show later in the day, while easing port congestion in Brazil may have pushed soybean arrivals to a record high.
TOCOM Rubber Futures Price on Wednesday, July 10, 2013 (yen/kilogram)
|
Month |
Last Settlement Price |
Open |
High |
Low |
Current |
Change |
Volume |
|
Jul 2013 |
238.5 |
235.5 |
235.5 |
233.5 |
233.8 |
-4.7 |
51 |
|
Aug 2013 |
238.8 |
233.8 |
234.6 |
233.8 |
234.6 |
-4.2 |
9 |
|
Sep 2013 |
239.5 |
238.2 |
238.2 |
234.5 |
235.3 |
-4.2 |
60 |
|
Oct 2013 |
240.3 |
238.1 |
238.1 |
234.5 |
236.1 |
-4.2 |
74 |
|
Nov 2013 |
241.3 |
238.0 |
238.0 |
234.3 |
236.2 |
-5.1 |
215 |
|
Dec 2013 |
241.5 |
239.3 |
239.8 |
234.3 |
236.4 |
-5.1 |
3,583 |
|
Total |
|
3,992 |
|||||
MARKET NEWS
* The yen hovered around 101 against the dollar on Wendesday morning, after edging down the previous day, as the greenback continued a bullish run on views the Federal Reserve will reduce stimulus at a time when other major central banks are likely to ease further.
* The Nikkei stock average was essentially unchanged in early trade on Wednesday, after speculative trade drove it higher in the previous day, but underlying positive sentiment from Wall Street’s gains and a weak yen could yet again propel the market higher later in the day, market watchers said.
* The 19-commodity Thomson Reuters-Jefferies CRB index rose to near a near three-week high of around 284 on Tuesday, boosted by higher prices of precious metals, grains, soft commodities and oil.
DATA EVENTS
* The following data is expected on Wednesday: (Time in GMT)
DATA/EVENTS (GMT)
N/A China Exports
N/A China Imports
0645 France Industrial output
0800 Italy Industrial output
1400 U.S. Wholesale inventories
1800 FOMC releases minutes from June 18-19 meeting
2010 Federal Reserve Chairman Ben Bernanke speaks (Reporting by James Topham; Editing by Ed Davies)
Source: Reuters
