Tokyo rubber futures soar

11 Dec, 2012

Key TOCOM rubber futures rose 1.9 percent to a two-month high on Monday, tracking gains in the Shanghai market as strong output data in China over the weekend helped revive risk appetite, with rises in shares and some commodities extending additional support.
"Strong gains in the Shanghai market lifted the market, although China's trade data on Monday showed the global economy is still in a tough situation," said Toshitaka Tazawa, an analyst at trading company Fujitomi Co. The key Tokyo Commodity Exchange rubber contract for May delivery settled up 3.9 yen, or 1.5 percent, at 267.5 yen per kg. The benchmark contract rose as high as 268.5 yen, up 4.9 yen, or 1.9 percent, the highest since October 12. The most active Shanghai rubber contract for May delivery closed up 2.1 percent at 24,925 yuan per tonne. The front-month January contract on the SICOM in Singapore was last traded at 285.7 US cents per kg, up 0.8 percent.

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