SHFE rubber extends losses on demand concern

Rubber futures traded on the Shanghai Futures Exchange (SHFE) continued a downward trend on Wednesday (May 15, 2013), as China demand concerns persist, sending the rubber futures prices down by more than 2%.

The most actively traded contract for September delivery ended at 19,875 yuan/metric ton, down 485 yuan or 2.38%.

Shanghai rubber has also been overbought after the gains of up to around 15 percent last week, note analysts, adding that stochastic indicators point might send the prices down further this week.

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