SHFE rubber extends rise on Tue. after lower-than-expected CPI data

Rubber futures traded on the Shanghai Futures Exchange (SHFE) continued an upward trend for a second day on Tuesday (April 9, 2013).

The most actively traded contract for September 2013 delivery ended at 21,685 yuan/metric ton, up 200 yuan or 0.93%.

Observers say the newly released CPI growth in March was lower than previous expectations and this eased worries over the government’s possible tightening measures to relieve inflation pressure.

Moreover, they note that the rubber prices may go up further if the major producing countries ofThailand,IndonesiaandMalaysiaagree at a meeting this week to collectively extend an export cut.

(Contributed by Olivia, olivia@tireworld.com.cn)