TOKYO: Tokyo rubber futures slipped on Wednesday as the yen moved higher against the U.S. dollar and as investors were reluctant to lock in fresh positions ahead of HSBC’s PMI data for China, dealers said.
The Tokyo Commodity Exchange rubber contract for December delivery dropped 0.7 yen, or 0.3 percent, to settle at 201.6 yen ($1.99) per kg, erasing earlier gains.
“The market came under pressure after the yen strengthened a bit in the afternoon trade,” Toshitaka Tazawa, analyst at Fujitomi Co, said.
The yen was traded at 101.34 yen as of 0855 GMT, against around 101.50 yen in early trade in Asia.
“The trade was lacklustre as investors waited for HSBC’s China data, due tomorrow, to see where its economy is going,” Tazawa said.
The HSBC/Markit Flash China Manufacturing Purchasing Managers’ Index for July will be released on Thursday.
The flash PMI data is the earliest indicator in a month to help gauge the economic momentum and thus is closely watched by investors.
The most-active rubber contract on the Shanghai futures exchange for January delivery rose 150 yuan to finish at 15,490 yuan ($2,500) per tonne.
The front-month rubber contract on Singapore’s SICOM exchange for August delivery last traded at 167.5 U.S. cents per kg, down 0.4 cent.
– Reuters
