Natural rubber futures mixed amid ‘position adjustments’

Tokyo – Natural rubber (NR) futures closed the trading week ended 1 March with mixed results across major rubber exchanges, Japan Exchange Group (JPX) has reported.

In its latest update, JPX said a recent uptrend in NR prices had prompted “position adjustments and profit-taking” in the market.

In Osaka, Japan, pricing for OSE rubber futures fell by nearly 1% compared to levels recorded at the end of the previous week.

There was a different picture in China, however, with NR trading almost 1% higher on the Shanghai Futures Exchange and INE futures also showing marginal gains.

SHFE and INE markets “attracted speculative fund buying interest, leading to increased long positions,” explained the JPXreport issued 4 March.

In Singapore, meanwhile, SICOM futures remained steady and recorded marginal gains, driven by short-covering activities.

According to JPX, traders had anticipated that prices would consolidate and were likely to trade sideways “until a clearer direction emerged.”

In other news, January vehicle sales in China fell 14% month-on-month to just under 2.5 million units, but still 57% up year-on-year.

JPX also noted Bridgestone's announced plans to exit the truck and bus tire business in China and instead concentrate on the premium passenger car tire segment there.