TOCOM snaps four-day losing streak; weak Shanghai market caps gains

-A +A

TOKYO (Aug 29): Benchmark Tokyo rubber futures snapped a four-day losing streak to end higher on Wednesday, but the initial gains were curbed by a weak Shanghai market and Singapore futures.

Tokyo Commodity Exchange (TOCOM) futures, which set the tone for rubber prices in Southeast Asia, have been hovering around a 22-month low hit mid-August amid oversupply worries.

"There is no change in the overall picture of excess supply," said a Japanese trading source.

The Tokyo Commodity Exchange rubber contract for February delivery finished 0.3 yen higher at 172.5 yen (US$1.56) per kg after touching a one-week low in early trade.

The most-active rubber contract on the Shanghai futures exchange for January delivery fell 55 yuan to finish at 12,340 yuan (US$1,808) per tonne.

The front-month rubber contract on Singapore's SICOM exchange for September delivery last traded at 132.7 US cents per kg, down 0.3 cent.

(US$1 = 110.4900 yen)
(US$1 = 6.8239 Chinese yuan)