Asian physical rubber prices

Asian physical prices were lower on Thursday, tracking a fall in futures prices on the Tokyo Commodity Exchange. Trading was thin with buyers waiting for prices to fall further, traders said.
"Buyers thought TOCOM would fall further and physical prices should be cheaper," one said. Some buyers were seeking RSS3 at around $2.30 per kg for June shipment, but no deals were done, as producers were reluctant to lower their prices due to expensive raw material, traders said.
Only dealers in Singapore who had rubber stocks could sell to users in Europe and the United States as exporters could not compete because tight supply was keeping raw material prices high, traders said.
Rain had stopped in parts of Thailand, the biggest producer, and Malaysia, the third biggest, but that did not mean an immediate increase in supply to meet increasing demand, especially from China, the biggest buyer, they said.