Tokyo rubber futures tumbled nearly 4 percent to the lowest since October 2009 on Tuesday as stop-loss selling emerged as the market fell on concerns about weaker demand after Japan released soft GDP data, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for January delivery fell 6.3 yen to settle at 207.6 yen ($2.65) per kg.
It fell as low as 8.3 yen, or 3.9 percent, to an intra-day low of 205.6 yen, the lowest since October 2009. The most-active rubber contract on t he Shanghai futures exchange for January delivery dropped 265 yuan to finish at 21,380 yuan ($3,400) per tonne. The contract fell more than 4 percent to 20,700 yuan per tonne. The front-month September rubber contract on Singapore's SICOM exchange was last traded at 242.5 US cents per kg, down 5.3 cents.
"Japan's GDP disappointed the market, triggering a broad sell-off, while weak Chinese trade figures kept pressure on the rubber futures," said a Bangkok-based trader. Dealers said they expected the 200 yen level to be a major support level for TOCOM prices and the prices could rebound slightly on Wednesday if oil prices remain firm.
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