Rubber futures back on an upward track

Tokyo - World rubber futures recovered from a prior-week dip to close higher across all major exchanges in the trading week to 14 April, Japan’s JPX exchange has reported.

On the Osaka exchange in Japan, prices for OSE rubber futures last week rallied by 2.5%, according to JPX’s weekly review of trading issued 17 April

There were similar, if lesser, positive trends among traders in main consumer-country China, where SHFE and INE futures rose by 0.8% and 1.0% respectively.

In Singapore, meanwhile, SICOM futures prices gained 0.9%, linked said JPX to “physical-related buying transactions by commercials.”

While concerns over global economic trends were blamed for the pricing reversal of the previous week, the opposite seemed to apply in the trading week to 14 April.

“Expectations of economic recovery in China, a mild USD movement, higher crude oil prices, and a possible peak of inflation may have aroused rubber-buying interest,” said JPX.

And, commenting on overall market trends, its report stated: “Rubber price sentiment remains steady, and the prices will try to consolidate within a tight range movement in the next few weeks.”