TOKYO, Aug 5 (Reuters) – Benchmark Tokyo rubber futures fell 0.9 percent on Monday, as a strong yen and weaker-than-expected U.S. jobs data weighed on market sentiment, dealers said.
The benchmark rubber contract on the Tokyo Commodity Exchange (TOCOM) for January delivery fell 2.3 yen to settle at 245.8 yen ($2.49) per kg.
The benchmark contract fell by as much as 2.8 percent in early Monday morning to 241.1 yen, the lowest since August 1.
The dollar fell 0.3 percent to 98.67 yen due in part to weak U.S. jobs data. U.S. employers slowed their pace of hiring in July, with jobs growth of 162,000, the Labor Department said on Friday. That was below the median forecast in a Reuters poll of 184,000.
“U.S. jobs data and a strong yen pressured TOCOM in early trade, but it has pared declines after Shanghai rubber market held up,” a Tokyo-based broker said.
The most-active rubber contract on the Shanghai futures exchange for January delivery rose 170 yuan to finish at 18,280 yuan ($3,000) per tonne.
India’s natural rubber production has been hit by heavy rains in the southern state of Kerala, which accounts for more than 90 percent of total output.
Rubber inventories in warehouses monitored by the Shanghai Futures Exchange were unchanged, the exchange said on Friday.
The front-month rubber contract on Singapore’s SICOM exchange for September delivery last traded at 225.80 U.S. cents per kg, up 1.6 cents.
($1 = 6.1294 Chinese yuan)
($1 = 98.7650 Japanese yen)
(Reporting by Osamu Tsukimori; Editing by Michael Perry)
Source: Reuters
