Tocom rubber futures settle 1.4% lower as market confidence remains persistently poor.
International Rubber Consortium chief executive Yium Tavarolit says in a note this week that the market is “misled” by weak sentiment; the organization is forecasting global natural rubber stocks at 2.3-2.5 million tons, far lower than industry forecasts at above 3 million tons; production is likely to fall 2.3% on year to 11.84 million tons as supply from major producers have dropped 1.6% on-year in the first half of 2014.
Auto sales in major markets are also increasing steadily for the first eight months of the year, he notes. Benchmark March rubber settles 2.5 yen lower at Y180.9/kg.
– IRCo
