Tokyo rubber edges down

01 Apr, 2010

Key Tokyo rubber futures inched down but stayed near an 18-month high on Wednesday, ending the quarter up 12 percent and marking their fifth quarterly gain in a row on a steady improvement in rubber demand. The key Tokyo Commodity Exchange rubber contract for September delivery closed on Wednesday. The end of the Japanese financial year, at 308.3 yen per kg, down 1.7 yen from the previous day but more than double the closing level a year earlier.
In 2008/2009, the TOCOM market fell 47 percent to 153.6 yen mainly due to a slump in the auto industry after the collapse of Lehman Brothers in September 2008 accelerated the global financial crisis. Oil, steady above $82 on Wednesday, was headed for its fifth consecutive quarterly gain as recovering demand outweighs ample supplies and concern over monetary tightening in leading economies. The dollar hit a three-month high against the yen on Wednesday as the Japanese currency lost ground broadly, while the Australian dollar tripped after retail sales data dented expectations for an interest rate hike next week.
Toyota Motor Corp's US sales rose about 35 percent in March from a year earlier after the automaker offered steep discounts to win back consumers after massive recalls, a US executive said on Tuesday. Chrysler Group LLC is on track to break even on an operating basis in 2010 and is ahead of its turnaround targets, Chief Executive Sergio Marchionne said on Tuesday. Bridgestone Corp, Japan's largest tyre maker, said on Tuesday it will spend about 50 billion yen ($540 million) to build a second tyre plant in India to meet demand, which it expects to grow "significantly" on the back of highway construction.

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