Friday, December 15, 2017

TOCOM falls as strong yen offsets Shanghai gains

Benchmark Tokyo rubber futures ended down 0.2% on Friday, as a stronger yen offset firm Shanghai futures, brokers said.
Tokyo Commodity Exchange (TOCOM) futures, which set the tone for tyre rubber prices in Southeast Asia, remained well below a two-month high of 211.2 yen hit last week amid continued worries over global demand.
The dollar was on the defensive on Friday after wrangling over a bill to change the US tax code dented confidence. A stronger yen makes yen-denominated assets less affordable when purchased in other currencies.
The Tokyo Commodity Exchange rubber contract for May delivery finished 0.5 yen lower at 204.8 yen (US$1.83) per kg, falling from a one-week high hit a day earlier, and eking out the fourth straight weekly gain, of 0.3%.
Rubber inventories in warehouses monitored by the Shanghai Futures Exchange rose 3.5% from last Friday, the exchange said on Friday.
The most-active rubber contract on the Shanghai futures exchange for May delivery rose 175 yuan to finish at 14,415 yuan (US$2,182) per tonne.
The front-month rubber contract on Singapore's SICOM exchange for January delivery last traded at 144.70 US cents per kg, up 0.1 cent.

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