Tokyo rubber rises on higher oil prices on Feb. 27
Tokyo Commodity Exchange (TOCOM) futures, which set the tone for rubber prices in Southeast Asia, rose on Wednesday as oil prices climbed on a report of declining US inventories. The benchmark Tokyo Commodity Exchange (TOCOM) rubber contract for August delivery finished 1.7 yen higher at 200.8 yen per kg.
The most-active rubber contract on the Shanghai futures exchange for May delivery fell 20 yuan to finish at 12,405 yuan per tonne. The US dollar was quoted around 110.42 yen, compared with around 110.57 yen on Tuesday afternoon.
Oil prices rose on Wednesday after a report of declining US crude inventories and as producer club OPEC seemed to stick to its supply cuts despite pressure from US President Donald Trump. Japan's benchmark Nikkei stock average was up 0.5 percent.
TOCOM's technically specified rubber (TSR) 20 futures contract for August delivery closed 2 yen higher at 170.8 yen per kg. The front-month rubber contract on Singapore's SICOM exchange for March delivery last traded at 146 US cents per kg, up 1.5 percent.
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