Tokyo rubber futures end higher

Tokyo rubber futures ended Thursday higher on the back of rising oil prices, but the upside was still limited as a poor demand outlook kept most players on the sidelines, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for December delivery was up 4.0 yen to settle at 247.5 yen ($3.14) per kg. The most-active rubber contract on the Shanghai futures exchange for September delivery was up 260 yuan to finish at 24,085 yuan ($3,800) per tonne.
The front-month August rubber contract on Singapore's SICOM exchange was last traded at 293.0 US cents per kg, up 2.0 cents. "Rubber rose in line with stronger oil prices, but players were still cautious as demand outlook was not so good," said a Bangkok-based dealer. Dealers said technical sentiment on TOCOM was weak after prices failed to break above a major resistance of 250 yen level that could encourage players to liquidate contracts on Friday to avoid risks.