TOCOM slips on high inventories, lean demand
Benchmark Tokyo rubber futures slid on Wednesday, tracking losses in Shanghai market, while being pulled down by high inventories and lean demand.
Tokyo Commodity Exchange (TOCOM) futures, which set the tone for rubber prices in Southeast Asia, edged lower in early trade, on falling oil prices.
"The prices are still fluctuating within a range. They will likely fall as rubber stocks keep rising," said Li Dongling, senior analyst with First Futures.
The Tokyo Commodity Exchange rubber contract for January delivery finished 0.5 yen (US$0.0045) lower at 169.9 yen per kg.
The most-active rubber contract on the Shanghai futures exchange for September delivery fell 85 yuan (US$12.49) to finish at 10,220 yuan per tonne.
The front-month rubber contract on Singapore's SICOM exchange for September delivery last traded at 130.9 US cents per kg, down 0.6 cent.
(US$1 = 112.0900 yen)
(US$1 = 6.8068 Chinese yuan)
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