SINGAPORE: Japanese rubber futures slipped for a fourth straight session on Wednesday, tracking lower Thai raw material prices and as traders braced for a bigger interest rate hike by the US Federal Reserve.
The Osaka Exchange rubber contract for November delivery finished down 1.5 yen, or 0.6%, at 253.6 yen ($1.88) per kg.
Latex prices in top rubber producer Thailand went down “quite a lot” from last Friday and all traders were concerned about a potential big Fed rate hike, said a Singapore-based trader.
Thai latex prices hit their lowest level since Feb. 7 at 47.65 baht ($1.36) per kg on Wednesday. Asian markets were in a pensive mood as shell-shocked investors waited to see just how aggressive the Federal Reserve would be on rates, with many fearing drastic action would risk tipping the world into recession.
Source: Brecorder
