SINGAPORE: Japanese rubber futures snapped a two-day winning streak to close lower on Thursday amid demand uncertainty, although higher oil prices limited losses.

The Osaka Exchange (OSE) rubber contract for October delivery closed down 0.5 yen, or 0.16%, at 309.3 yen ($1.99) per kg. The rubber contract on the Shanghai Futures Exchange (SHFE) for September delivery fell 80 yuan to finish at 14,240 yuan ($1,970.72) per metric ton.

Uncertainty around the ongoing elections in India could hurt automakers’ sales in May despite rising consumer interest for new model launches, a dealers’ body said. Top executives at BMW and Volkswagen warned against imposing EU import duties on electric vehicles from Chinese automakers, saying it could upend the bloc’s Green Deal plan and harm automakers that import cars made in China. Lower automobile sales are likely to dent demand for tyres, which are made of rubber.