Natural rubber futures dip amid Chinese market holiday

Tokyo – Natural rubber futures continued a recent dip during the trading week to 6 Oct, amid “very quiet trading”, according to the Japan Stock Exchange (JPX).

Trading volumes were impacted primarily by a week-long holiday period in China, which kept many traders on the sidelines, JPX reported 9 Oct.

In Osaka, Japan, pricing for active new March 2024 OSE rubber futures fell 1.9% week-on-week, amid subdued trading.

In Singapore, SICOM’s active January 2024 contract pricing fell 1.1% week-on-week, JPX reported.

While OSE's trading volume remained nearly unchanged, JPX said SICOM's volume dropped “substantially” during the period.

Rubber prices trended lower during this period, influenced by a strong US dollar, rising US interest rates, and concerns regarding weaker global demand.

Another key factor, JPX noted, was a ‘significant dip’ in WTI crude oil prices, as a result of low demand and higher inventory levels.

Selected NR futures price trends on major trading exchanges