Tokyo rubber futures dip

Tokyo rubber futures dipped on Tuesday, retreating from a record high as falling oil prices triggered profit-taking, but limited supplies of physical rubber still provided support, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for June delivery fell 5.5 yen to settle at 476.6 yen ($5.78) per kg. It hit a record high of 484.9 yen on Monday.
The most active Shanghai rubber contract for May delivery fell 800 yuan from Monday's close to settle at 39,665 yuan ($6,027) per tonne on Tuesday. But TOCOM rubber was unlikely to fall significantly and could rally on Wednesday, given the low supplies of physical rubber and strong demand, dealers said. Thailand's benchmark smoked rubber sheet (RSS3) was still offered at a record high of $5.82 per kg on Tuesday despite the drop in futures prices.