TOKYO: Japanese rubber futures rose the most in nearly 12 years on Monday, extending last week's gains on hopes of stronger demand in China as its economic recovery from the Covid-19 pandemic builds momentum. Osaka Exchange's rubber contract for March delivery finished 18.3 yen, or 7.9% higher at 250.4 yen ($2.39) per kg.
It was the biggest daily gain since December 2008 and the highest close since early 2017. China's economic recovery is picking up, with third-quarter growth at nearly 5% and other data last week underlining the strength of the rebound in the world's biggest rubber consumer.
China's leadership will lay out the country's economic road map for 2021-2025 at a key meeting starting Monday, with analysts saying that maintaining a steady economic growth rate will be the priority at the event. The most-active rubber contract on the Shanghai futures exchange for January delivery rose 3.3% to finish at 15,350 yuan per tonne.
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