Asian physical rubber prices were quoted higher on Monday as strong demand offset slight falls of futures contract prices on the Tokyo Commodity Exchange. Trading was likely to be busy this week with Chinese buyers in the market, buying ahead of weeklong Lunar New Year holidays starting early February, traders said.
Chinese buyers bought Thai RSS3 at $2.62 per kg and Indonesian SIR20 at 1.16 per lb, free on board, for March shipment, a trader at Thailand's Hat Yai rubber centre said.
"The physical side didn't follow TOCOM as demand remained strong and supply started to fall," a Malaysian trader said. Thailand, the world's top rubber producer, and number-three Malaysia normally enter the wintering dry season, when rubber trees produce less latex, in February.