SINGAPORE, June 27 (Reuters) –
- Japanese rubber futures rebounded on Thursday, as the yen hit a 38-year low against the dollar, making the commodity more affordable to overseas buyers.
- The Osaka Exchange (OSE) rubber contract for December delivery JRUc6, 0#2JRU: was up 2.5 yen, or 0.75%, at 334 yen ($2.08) per kg as of 0149 GMT.
- The rubber contract on the Shanghai Futures Exchange (SHFE) for September delivery SNRv1 was up 65 yuan, or 0.43%, at 15,115 yuan ($2,147.50) per metric ton.
- The yen JPY= fell as much as 0.45% to 160.39 against the dollar on Wednesday, touching its weakest since December 1986. FRX/
- Selling pressure on the currency continued, despite repeated warnings from Japanese officials of possible intervention in the face of excessive volatility.
- Oil prices slid in early Asian trade on Thursday as a surprise build in U.S. stockpiles fuelled fears about slow demand from the top oil consumer, though worries a potential expansion of the Gaza war may disrupt Middle East supplies capped declines. O/R
- Natural rubber often takes direction from oil prices as it competes for market share with synthetic rubber, which is made from crude oil.
- Top rubber producer Thailand’s meteorological agency warned of “heavy to very heavy rains and accumulations that may cause flash flood and runoff” on June 27.
- The front-month rubber contract on Singapore Exchange’s SICOM platform for July delivery STFc1 last traded at 167.9 U.S. cents per kg, down 0.9%.
($1 = 160.5200 yen)
($1 = 7.2666 yuan)
Reporting by Gabrielle Ng; Editing by Subhranshu Sahu
Source:
Reuters
