Tocom rubber futures settle slightly lower amid persistent weak sentiment on expectations of a supply surplus this year.
Prices are likely to remain depressed in the next few years due to ample supply, unless strong economic growth factors emerge, says Singapore-based Rabobank analyst Pawan Kumar. He adds global rubber supply is likely 500,000 tons this year and prices are likely bottoming out as they are around current production costs. Benchmark February rubber settles Y0.5 lower at Y199.6/kg.
Source: Dow Jones
