TOCOM edges lower on high inventories, weak Shanghai
Benchmark Tokyo rubber futures fell on Thursday, weighed down by oversupply in Asia and weaker Shanghai futures.
Tokyo Commodity Exchange (TOCOM) futures, which set the tone for rubber prices in Southeast Asia, have been under pressure as inventories in Asia remain high.
"Inventories have been quite high and demand is weak. Cargoes delayed in previous months might be arriving in a concentrated manner," said Li Dongling, analyst with First Futures.
Crude rubber inventories at Japanese ports stood at 16,357 tonnes as of April 10, up 4.9% from the last inventory date, data from the Rubber Trade Association of Japan showed on Tuesday.
The Tokyo Commodity Exchange rubber contract for October delivery finished 1.1 yen lower at 187.1 yen per kg.
The most-active rubber contract on the Shanghai futures exchange for September delivery fell 180 yuan to finish at 11,420 yuan per tonne.
The front-month rubber contract on Singapore's SICOM exchange for May delivery last traded at 137.7 US cents per kg, down 2.1 cent.
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