Rubber drops

Benchmark Tokyo rubber futures on Wednesday dropped to a two-week low, extending declines into a second session, as the market came under pressure from weak oil prices and Shanghai futures. The Tokyo Commodity Exchange rubber contract for January delivery finished 3.9 yen lower at 201 yen ($1.82) per kg. Earlier in the session, it touched 202.3 yen, the lowest since July 19.
The most-active rubber contract on the Shanghai futures exchange for January delivery fell 105 yuan to finish at 15,235 yuan ($2,265) per tonne. The front-month rubber contract on Singapore's SICOM exchange for September delivery last traded at 145.2 US cents per kg, down 1.7 cents. "There is no change in oversupply of rubber," said a source with a Tokyo-based broker.