Benchmark TOCOM rubber futures fell early on Monday (Sept 8), hurt by a stronger yen against the dollar and ahead of China’s trade data that is likely to show continued weakness in the world’s second-biggest economy.
FUNDAMENTALS
The Tokyo Commodity Exchange rubber contract for February delivery fell 1.3 yen to 196.4 yen per kg by 0036 GMT. The benchmark contract fell to as low as 196.1 yen, the lowest since Sept. 2.
China’s financial markets are closed on Monday, Sept. 8, for the Mid-Autumn Festival holiday and will resume trading on Tuesday (Sept 9.
A Reuters poll on China’s trade data due out later in the day showed exports likely grew 8.0 percent in August from a year ago, compared with a jump of 14.5 percent in July, while imports were likely to have risen 1.7 percent, after falling 1.6 percent in July.
China will stop levying anti-dumping taxes on rubber imports from Japan, Russia and South Korea from Monday, the trade ministry said, ending a five- year-old policy.
Rubber inventories in warehouses monitored by the Shanghai Futures Exchange rose 1.6 percent from last Friday (Sept 5), the exchange said on Friday (Sept 5).
MARKET NEWS
The greenback retreated to 105.20 yen from a six-year high of 105.71 marked on Friday (Sept 5).
Japan’s benchmark Nikkei stock average was up 0.12 percent in Monday (Sept 8) trade.
U.S. oil prices stood little changed on Monday (Sept 8).
Reuters, September 8, 2014
