Tokyo rubber futures ended lower on Friday, weighed down by the strength in the Japanese yen and weaker oil prices, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for March delivery dropped 1.6 yen to settle at 322.7 yen ($3.92) per kg. "Technical sentiment was weak and prices failed to rise further due mainly to the yen's rise," one dealer said.
The dollar fell to a 15-year low against the yen ahead of US jobs data and on prospects the Federal Reserve will start pumping more money into the US economy next month to boost growth.
Oil fell on Friday, erasing gains for the week, as the dollar strengthened on speculation the US jobs market may have emerged from a soft patch, putting into question the urgency of further monetary stimulus. The most active March contract on Shanghai rubber futures, jumped to its highest in more than two years on Friday as the market reopened after a week-long holiday. The contract hit a high of 27,540 yuan a tonne, its strongest since mid-2008. TOCOM prices were expected to rebound next week on the back of strong demand, but the rises were expected to be limited again by the firmer yen, dealers said.
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