TOKYO, July 18 (Reuters) – Key TOCOM rubber futures fell nearly 1 percent on profit-taking on Thursday, following a 4.8 percent jump the previous day.
FUNDAMENTALS
* The key Tokyo Commodity Exchange rubber contract for December delivery was changing hands 2.8 yen lower at 241.9 yen as of 0016 GMT. The benchmark contract hit a near one-week high on Wednesday.
* China has started to make inquiries after rubber prices sank to multi-year lows, but the country’s tyre makers are likely to turn to cheaper stocks in bonded warehouses due to uncertainties over the economy, dealers said on Wednesday.
* Rubber stocks at Qingdao, which make up the bulk of China’s inventories, stood at 330,300 tonnes, down from 341,900 tonnes in early July but still above the usual level of 250,000 tonnes.
* A drop in inventory usually raises the prospects of stock replacement, but preliminary June customs data showed China’s natural rubber imports fell to 130,000 tonnes from 180,000 tonnes in May as tyre makers curbed overseas purchases.
TOCOM Rubber Futures Price on Thursday, July 18, 2013 (yen/kilogram)
|
Month |
Last Settlement Price |
Open |
High |
Low |
Current |
Change |
Volume |
|
Jul 2013 |
237.8 |
239.1 |
239.2 |
236.0 |
236.2 |
-1.6 |
9 |
|
Aug 2013 |
240.3 |
241.8 |
241.8 |
238.5 |
238.9 |
-1.4 |
58 |
|
Sep 2013 |
242.0 |
243.9 |
243.9 |
239.6 |
239.6 |
-2.4 |
16 |
|
Oct 2013 |
243.2 |
244.0 |
244.0 |
240.4 |
241.0 |
-2.2 |
93 |
|
Nov 2013 |
244.0 |
245.0 |
245.0 |
240.8 |
242.0 |
-2.0 |
97 |
|
Dec 2013 |
244.7 |
245.8 |
245.8 |
241.3 |
242.5 |
-2.2 |
1,613 |
|
Total |
|
1,886 |
|||||
MARKET NEWS
* U.S. stocks ended modestly higher on Wednesday after Federal Reserve Chairman Ben Bernanke said the timeline for winding down the U.S. central bank’s stimulus program was not set in stone.
* The dollar rose broadly on Wednesday after Federal Reserve Chairman Ben Bernanke confirmed market expectations that the U.S. central bank will start reducing its monetary stimulus this year as long as the economy grows as expected.
* Brent crude inched higher on Wednesday while gasoline prices fell slightly after the U.S. Energy Information Administration reported further draws in American crude stockpiles and larger-than-expected increases in gasoline inventories.
* Japan’s benchmark Nikkei average opened up 0.21 percent at 14,645.25 on Thursday, while the broader Topix gained 0.27 percent to 1,216.49.
DATA EVENTS
* The following data is expected on Thursday: (Time in GMT)
– 0800 Euro zone Current account
– 1230 U.S. Weekly jobless claims
– 1400 U.S. Philly Fed business index
– 1400 U.S. Leading indicators
– 1430 Federal Reserve Chairman Ben Bernanke testifies before Senate Banking Committee (Reporting by Osamu Tsukimori; Editing by Richard Pullin)
Source: Reuters
