TOKYO, Oct 19 (Reuters) – Benchmark TOCOM rubber futures fell to a two-week low on Monday, dogged by worries over slowing rubber demand ahead of Chinese data that was expected to show global headwinds dragging on the country’s economic growth.
FUNDAMENTALS
The Tokyo Commodity Exchange rubber contract for March delivery fell 2.5 yen to 169.7 yen per kg by 0047 GMT, after settling down 2.2 yen on Friday.
The benchmark contract touched 169.2 yen earlier, the lowest since Oct.5.
Rubber inventories in warehouses monitored by the Shanghai Futures Exchange rose 2.5 percent from the previous week, the exchange said on Friday.
China’s economic growth is expected to fall below 7 percent for the first time since the global financial crisis in the third quarter, putting pressure on policymakers to roll out more support measures as fears of a sharper slowdown spook investors.
MARKET NEWS
The U.S. dollar was quoted around 119.27 yen JPY= , compared with around 119.07 yen on Friday afternoon.
Japan’s benchmark Nikkei stock average .N225 was down 0.5 percent. MKTS/GLOB
London copper was flat on Monday ahead of China data that was expected to show global headwinds dragging on the country’s economic growth, clouding the outlook for metal demand.
U.S. crude futures inched up in early Asian trading on Monday, extending short-covering gains made in the prior session after the U.S.oil rig count fell for a seventh week in a row.
DATA/EVENTS (GMT)
The following data is expected on Monday: (Time in GMT)
– 0200 China Urban Investment YTD Sept
– 0200 China Industrial Output Sept
– 0200 China Retail Sales Sept
– 0200 China GDP QQ, YY Q3
– 1300 US NAHB Housing market Index Oct
(Reporting by Osamu Tsukimori; Editing by Richard Pullin)
