TOKYO, Sept 6 (Reuters) – Key TOCOM rubber futures fell about 1 percent on Friday on profit-taking ahead of U.S. jobs data, but the market is headed for a weekly gain of more than 4 percent on the back of a weaker yen.
FUNDAMENTALS
* The key Tokyo Commodity Exchange rubber contract for February delivery was changing hands 2.5 yen lower at 281.1 yen as of 0124 GMT, headed for a weekly gain of about 4.5 percent.
The market stood about 2 percent below a three-month high of 287.9 yen hit on Wednesday.
* The dollar tested the 100-yen level, marking a six-week peak for the currency pair at 100.19 on both yen weakness and broad dollar strength.
* On Thursday, the Thai government scrapped a tax on rubber exports until the end of the year in a bid to lift prices, but the move did not placate protesters calling for the renewal of a rubber subsidy programme.
* Investors await the release of Friday’s nonfarm payrolls data for August, which will help guide the U.S. Federal Reserve’s decision on when to slow its $85 billion bond buying scheme. The U.S. central bank’s three quantitative easing schemes have buoyed prices for gold and other commodities.
TOCOM Rubber Futures Prices on Friday, September 06, 2013 (yen/kilogram)
|
Month |
Last Settlement Price |
Open |
High |
Low |
Current |
Change |
Volume |
|
Sep 2013 |
270.0 |
272.3 |
272.3 |
269.3 |
269.3 |
-0.7 |
3 |
|
Oct 2013 |
272.8 |
274.0 |
274.0 |
271.0 |
271.0 |
-1.8 |
10 |
|
Nov 2013 |
274.6 |
274.9 |
275.5 |
272.3 |
274.1 |
-0.5 |
31 |
|
Dec 2013 |
277.6 |
278.1 |
278.1 |
274.8 |
276.2 |
-1.4 |
50 |
|
Jan 2014 |
280.8 |
280.6 |
282.1 |
278.0 |
279.7 |
-1.1 |
629 |
|
Feb 2014 |
283.6 |
284.4 |
285.3 |
280.8 |
282.0 |
-1.6 |
3,109 |
|
Total |
|
3,832 |
|||||
MARKET NEWS
* U.S. stocks edged up on Thursday, rising for a third day after strong data indicated improving economic conditions, with caution capping gains ahead of Friday’s payrolls report and its implication on the Federal Reserve’s stimulus program.
* Oil futures rose on both sides of the Atlantic on Thursday as bullish U.S. economic data and a drawdown in U.S. crude inventories implied increasing demand in the world’s biggest oil consumer.
* Japan’s benchmark Nikkei average opened up 0.17 percent at 14,088.41 on Friday, while the broader Topix gained 0.27 percent to 1,160.96.
DATA EVENTS
* The following data is expected on Friday: (Time in GMT)
– 1000 Germany Industrial output mm Jul
– 1230 U.S. Unemployment rate Dec
– 1230 U.S. Nonfarm payrolls Dec
– 1930 U.S. CFTC commitment of traders data Weekly
(Reporting by Osamu Tsukimori; Editing by Richard Pullin)
Source: Reuters
