Tokyo rubber hits two-week high

20 Nov, 2012

Tokyo rubber futures rose 2 percent to a two-week high on Monday on the back of firm oil prices and a weaker Japanese yen, which spurred speculative buying, but gains were still limited, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for April delivery rose 4.2 yen to settle at 252.6 yen ($3.11) per kg.
It rose as much as 2 percent to an intra-day high of 253.4 yen, the highest since November 5. The most-active rubber contract on the Shanghai rubber futures exchange for May delivery rose 345 yuan to settle at 24,495 yuan ($3,900) per tonne. The front-month December rubber contract on Singapore's SICOM exchange was last traded at $2.80 per kg, up 1.3 cents. "The weaker yen and stronger oil prices encouraged investors to take speculative buying positions. However, small players took profit and that capped the rises," said a Bangkok-based dealer.

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