Tokyo rubber futures fell for a fourth straight day on Thursday and hit their lowest level in more than a week, pressured by weakness in commodities such as gold. The key Tokyo Commodity Exchange rubber contract for May delivery fell 4 percent or 9.8 yen to 243.1 yen per kg, after earlier hitting a trough of 242.9 yen, its lowest since November 30.
A Tokyo-based fund manager said rubber, along with other commodities and assets such as equities, was facing liquidation pressure as investors were spooked after sovereign credit problems emerged and were trimming risk exposures. "Markets across the board had been soaring and building up big long positions, but investors are becoming cautious ahead of the year-end and are closing their positions, accelerating declines in prices," the fund manager said.
Spot gold is now down nearly 9 percent from its record high of $1,226.10 marked on December 3. US crude futures rose on Thursday, gaining ground after settling at a two-month low below $71 a barrel a day earlier due to large increases in US refined product supplies amid weak demand.
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