Asian physical rubber prices

30 May, 2007

Most Asian physial rubber prices remained high despite a fall on the Tokyo Commodity Exchange as limited physical supply provided support. Trading was expected to revive this week, with buyers in the United States and Europe back from a holiday and with the Japanese and Chinese in the market for STR20 and SIR20, traders said.
"Indonesia alone couldn't fill Chinese demand, so buyers shifted to buy STR20 from Thailand as their prices were probably the same," a trader said. Supply in the world's top three producers - Thailand, Indonesia and Malaysia - is still tight due to persistent rain disrupting tapping. "Physical prices should be supported at least for the whole week as demand is still strong while supply is limited," a Malaysian trader said.

Read Comments