TOKYO, Oct 12 (Reuters) – Benchmark Tokyo rubber futures extended declines into a fifth session on Thursday and posted their lowest close in three months due to a stronger yen against the dollar and a lack of fresh interests, brokers said.
The dollar hit a two-week low versus a basket of currencies after minutes from the U.S. Federal Reserve’s latest meeting suggested some central bankers are still concerned about persistently low inflation.
A stronger yen makes Japanese currency-denominated assets more expensive when purchased in other currencies.
Shanghai futures, meanwhile, traded mostly lower during the day but managed to end higher after industry data showed strong vehicle sales an hour ahead of the close.
The most-active rubber contract on the Shanghai futures exchange for January delivery rose 155 yuan to finish at 13,375 yuan ($2,031) per tonne.
China’s vehicles sales rose in September for the fourth consecutive month, an industry body said on Thursday, underscoring growing momentum in the world’s largest auto market after a slower start to the year.
The front-month rubber contract on Singapore’s SICOM exchange for November delivery last traded at 143.20 U.S. cents per kg, up 1.8 cents.
($1 = 112.2600 yen)
($1 = 6.5841 Chinese yuan)
(Reporting by Osamu Tsukimori; Editing by Subhranshu Sahu)