Rubber rises

Benchmark Tokyo rubber futures ended 1.2 percent higher on Tuesday after hitting a three-week high as a recent jump in oil prices and fall in Japanese rubber inventories helped improve market sentiment. Tokyo Commodity Exchange (TOCOM) futures, which set the tone for tyre rubber prices in Southeast Asia, have made some recovery though oversupply concerns led to an 8 percent drop last month.
The Tokyo Commodity Exchange rubber contract for July delivery finished 2.5 yen higher at 204.8 yen per kg. The benchmark contract hit an intraday high of 206.5, the highest since January 13. The most-active rubber contract on the Shanghai futures exchange for May delivery rose 225 yuan to finish at 13,280 yuan per tonne. The front-month rubber contract on Singapore's SICOM exchange for March delivery last traded at 138.60 US cents per kg, down 1.2 cent.