Tokyo rubber futures fell to a three-week low on Monday, tracking falling oil prices and stocks, which were hit by a US credit rating downgrade and the debt crisis in Europe, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for January delivery fell 8.9 yen, or 2.3 percent, to settle at 370.5 yen ($4.72) per kg.
It fell to an intra-day low of 370.2 yen, the lowest since July 14. The most active rubber contract on the Shanghai rubber exchange for January delivery fell 15 yuan to finish at 33,690 yuan ($5,231) per tonne.
"There was no positive factor to help TOCOM prices today as everybody is still concerned about the US and the euro debt crisis, which could shake the world economy," one dealer said. Crude fell $3 a barrel on Monday after ratings agency Standard & Poor's downgraded the United States' top-tier credit rating, stirring concern over the outlook for demand in the world's biggest oil consumer. Dealers said TOCOM rubber was expected to trade between support at 370 yen level and 380 yen on Tuesday.
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