Rubber futures markets show signs of stability

Tokyo - World rubber futures closed the trading week to 29 July generally higher in most major exchanges, Japan’s JPX trading exchange has reported.. 

On the Osaka exchange, however, OSE December futures were marginally lower, recording a 0.5% decline amid fresh buying under smaller trading volume.

Rubber futures prices on the SHFE and INE lifted 5.1% and 1.8% respectively, JPX noting “massive short covering” on the Chinese  exchanges.

In Singapore, the weekly report showed a 1.7% increase in SICOM rubber futures “amid some arbitrage trading under light trading volume.” 

A “tight physical market and high raw material prices [retain] near-month contracts at a premium, and forward-month contracts were flat or in [reverse],” JPX also commented. 

Looking ahead, JPX said rubber prices “will likely hold steady or recover a bit” despite China's sluggish economy.