SINGAPORE: Japanese rubber futures snapped a five-day losing streak and rose slightly on Wednesday, buoyed by positive economic data from China and Japan.
The Osaka Exchange (OSE) rubber contract for May delivery was up 0.8 yen or 0.3%, at 243.5 yen ($1.65) per kg at closing. The rubber contract on the Shanghai Futures Exchange (SHFE) for May delivery was down 35 yuan or 0.2%, at 13,300 yuan ($1,858.09) per metric ton.
Declines in China’s exports likely slowed in November, a Reuters poll showed, amid mixed signs factories in the world’s second-largest economy may be finding their footing after a bruising slump in demand.
Sentiment at big Japanese manufacturers surged, improving for a second straight month as the auto sector continued to recover from last year’s supply chain woes, a monthly Reuters Tankan survey found. “Demand from China is stable but they are not in a rush to buy, given the ample stockpile and availability of cargoes.
So prices easily drift downwards”, said Farah Miller, CEO of Helixtap Technologies, an independent rubber-focused data company.
The Japanese yen last traded flat against the dollar and traded at 147.2. The yen has recently pulled away from a near 33-year low of 151.92 touched in the middle of November. Japan’s benchmark Nikkei average closed 2.04% higher.
Source: Brecorder
