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Key Tokyo rubber futures slipped lower on Wednesday, weighed by a strong yen and weak oil prices while technical sentiment remained poor after prices failed to break above a key resistance at 290 yen, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for January delivery fell 2.0 yen to settle at 286.3 yen ($3.40) per kg.
But the nearby August contract rose 10 yen higher to expire on Wednesday at 338.3 yen per kg on active short-covering. Dealers said TOCOM rubber should remain firm, but the upside was likely to be capped as technical sentiment remained weak after prices failed to break above 290 yen per kg.

Copyright Reuters, 2010

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