Chinese rubber futures rise despite dip in vehicle sales

Tokyo – Global rubber futures ended the trading week ended 21 Feb mixed across major exchanges in the Far East, according to the latest Japan Exchange Group (JPX) report on developments in the market.

Speculative buying persisted for a second consecutive week in China, was a notable factor, said JPX, noting that equities there “continued to rally despite sharply lower vehicle sales at the end of January.”

Rubber futures prices gained 1.3% and 2.0% week-on-week respectively on the Chinese SHFE and INE exchanges, in contrast to Japan where OSE rubber declined 1.2% in light trading.

On the Singapore SICOM exchange, meanwhile, rubber futures closed marginally higher on reduced trading volume, continued the JPX report issued 24 Feb.

The review went on to link a 1,065,111-unit decline in vehicle sales in China, to 2,423,494 units, primarily to the impact of the extended Lunar New Year holidays.