TOKYO: TOCOM rubber futures fell on Friday, extending declines from a seven-week high hit in the previous session as concerns about the Euro zone economy and caution ahead of key U.S. payrolls data offset recent optimism about demand from China.
The most-active Tokyo Commodity Exchange rubber contract for May delivery was down 0.1 yen, at 263.5 yen per kg as of 15.37 JST.
The benchmark contract on Thursday hit a high of 266.2 yen, the highest level since October.15, helped by optimism about demand from China, the world’s biggest rubber consumer, after the new head of the Communist Party pledged to ensure stable economic growth next year.
The European Central Bank on Thursday painted a bleak outlook for the Euro zone and discussed cutting interest rates at its policy meeting.
The dollar traded at around 82.40 yen little changed from the previous close and off a near eight-month high of 82.82 yen hit in late November.
U.S. crude held steady above $86 per barrel after dropping for three straight sessions, but prices were headed for their first weekly loss in five as euro zone worries and a looming U.S. fiscal crisis kept investors on the edge.
Source: Rubber Country
