TOKYO: Japanese rubber futures rose on Monday as investors hunt for bargains after a sharp drop last week and ahead of what are expected to be upbeat readings on the economy in the world’s top rubber buyer China.

The Osaka Exchange rubber contract for October delivery was up 4.5 yen, or 1.9%, at 246.5 yen ($2.3) per kg as of 0125 GMT. The benchmark lost 5.3% last week, the first weekly decline in three.

The rubber contract on the Shanghai futures exchange for September delivery was up 10 yuan at 13,400 yuan ($2,082) per tonne on Monday.

Rubber inventories in warehouses monitored by the Shanghai Futures Exchange rose 0.1% from the previous week, data from the exchange showed on Friday.