Tocom rubber futures settle 2.1% lower with prices tracking the yen, which gained against the dollar late in the trading day.
Some profit-taking is occurring after gains in the last two weeks, but Tocom’s upside is likely intact due to robust China auto demand, says a trader in Hat Yai; he adds Tuesday’s sharp losses on Tocom present a good opportunity to set up new longs.
IRCo chief executive Yium Tavarolit says another encouraging factor comes from improving macroeconomic conditions in Europe.
Benchmark January rubber settles Y5.7 lower at Y260.8/kg, off the intraday low of Y259/kg.
Source: Dow Jones
