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Benchmark Tokyo rubber futures ended slightly higher on Tuesday, snapping a 6 percent drop posted over the past two sessions, as Shanghai futures steadied on the back of firm oil prices. The US dollar strengthened to around 109.47 yen from 108.95 yen in early morning trade, which also helped support market sentiment. Tokyo Commodity Exchange (TOCOM) futures, which set the tone for tyre rubber prices in Southeast Asia, touched a two-month low in early Tuesday trade but steadied later as US crude oil hit a seven-month high amid global supply disruptions.
The Tokyo Commodity Exchange rubber contract for October delivery finished 0.2 yen higher at 172.2 yen per kg. The most-active rubber contract on the Shanghai futures exchange for September delivery rose 90 yuan to finish at 11,355 yuan per tonne. The front-month rubber contract on Singapore's SICOM exchange for June delivery last traded at 139 US cents per kg, down 0.5 cent.

Copyright Reuters, 2016

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