Key Tokyo rubber futures fell more than 3 percent on Wednesday as global financial markets were rattled by heightened tensions in the Korean Pennisula following a North Korean artillery attack on a South Korean island near the border. The key Tokyo Commodity Exchange rubber contract for April delivery settled at 359.5 yen per kg, down 10.3 yen or 2.8 percent. It fell as low as 356.4 yen, the lowest since November 18.
The April benchmark contract had climbed as high as 375.9 yen on Friday, the highest since November 12. The benchmark contract will switch to May from Thursday. Deliveries against the November futures contract fell 25 percent from last month to 214 lots or 1,070 tonnes. The nearby November contract expired at 354.9 yen per kg. The most active rubber contract for May delivery on the Shanghai futures market closed at 32,285 yuan ($4,859) per tonnes.