TOKYO: Benchmark Tokyo rubber futures ended up 1.2 percent on Thursday, getting support from the yen hovering at a seven-year low against the dollar and firm oil prices.
The Tokyo Commodity Exchange rubber contract for May delivery finished up 2.3 yen at 200.5 yen($1.67) per kg.
Tokyo Commodity Exchange (TOCOM) futures, which set the tone for tyre rubber prices in Southeast Asia, have barely moved from around the 200-yen level for more than a month, staying not far five-year lows hit in October amid an oversupply.
The dollar was quoted at 119.86 yen at 0822 GMT, up from around 119.28 a day earlier.
“TOCOM has been trading within 4 to 6 yen from the 200 yen level recently, and we’re right at the neutral 200-yen level,” said a Tokyo-based dealer.
Brent crude rose above $70 a barrel on Thursday, gaining nearly 1 percent along with U.S. futures as a fall in crude stockpiles in the United States supported prices.
The most-active rubber contract on the Shanghai futures exchange for May delivery rose 215 yuan to finish at 12,680 yuan ($2,061) per tonne.
The front-month rubber contract on Singapore’s SICOM exchange for January delivery last traded at 148.60 U.S. cents per kg, up 0.8 cent.
– Reuters
