Tokyo rubber futures ended 1 percent lower on Friday as players took profit ahead of the quarter's end, but firm oil prices and limited supply in major producing countries continued to lend support, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for September delivery fell 3.4 yen, or 1 percent, to settle at 325.7 yen ($3.96) per kg.
Despite the drop, Tokyo futures, which set the tone for physical prices, gained around 24 percent in the first quarter. The most-active Shanghai rubber contract for May delivery rose 85 yuan to finish at 27,980 yuan ($4,400) per tonne. The front-month April rubber contract on the Singapore SICOM exchange was last traded at 375.00 US cents per kg, down 2.9 cents.
"Several commodity futures eased as players took profit ahead of the end of the first quarter, but rubber prices were still supported by oil prices and supply," one dealer said. Supply in Thailand, the world's biggest rubber producer and exporter, is expected to remain tight until the end of April.
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