DJ Asia Rubber Futures Settle Higher On Firmer Metals, Crude Oil
SINGAPORE (Dow Jones)--Asian rubber futures settled mostly higher Monday as
stronger sentiment in crude oil and precious metals futures led to fresh buying
and short-covering.
On Tocom, rubber futures settled up, though off a fresh two-month intraday
high.
Friday's slip encouraged buying on dips in early trade, while sentiment was
further boosted by gains in gold futures, said a Tokyo-based trader.
"Short-covering by day traders in the afternoon session also lent support,
though trade was thin as major funds opted for the sidelines, awaiting fresh
leads," he said.
The trader pegged psychological resistance at Y300, though said a potential
downside risk is possible Tuesday, as today's highs may induce profit-taking.
But the overall outlook remains bullish due to firmer technical charts, while
potential lows will likely attract bargain hunters, the trader said.
On C-Com, rubber futures settled higher.
The gains on Tocom lifted sentiment and encouraged short-covering, said a
trader in Japan.
Stronger precious metals and crude oil futures were also supportive to
rubber, he said.
On the Shanghai Futures Exchange, rubber futures settled little changed.
"The overall positive sentiment on commodities and speculative money inflows
may drive prices higher," said an analyst in Shanghai.
The SHFE will continue closely monitoring tapping conditions and weather in
China's major production region, the trader said.
On Sicom, rubber futures settled higher in line with Tocom's rise.
"Fund managers extended their long positions amid expectations of further
rises due to strong fundamentals and technical charts," said a trader in
Singapore.
The Agricultural Futures Exchange of Thailand resumes trading Tuesday
following its closure for the Songkran Festival public holiday, though trade is
expected to remain thin until Wednesday, when most offices reopen, traders
said.
Asian cash rubber prices were higher in active trade.
Gains on Tocom and tight supply due to the wintering season bolstered prices,
said a Malaysia-based trader.
"Demand is very much there at the moment, and Chinese consumers were in the
market in need of rubber for nearby shipments," he said
Thailand's closure for the Songkran Festival resulted in an upturn in
Malaysian trade.
In other news, Malaysia's natural rubber exports in February fell 18.6% on
year to 71,428 metric tons, the Department of Statistics said.
Natural rubber output in February totaled 123,155 tons, down 2.1%, while
natural rubber stocks at the end of February totaled 190,740 tons, down 11.5%.
Asian Rubber Futures
Apr 16 Change from
Apr 13 Tocom Sep RSS3 Y297.2/kg Up Y4.3 C-Com Sep RSS3 Y296.1/kg Up Y5.3
Shanghai Jul SCR5 CNY23,835/ton Dn CNY20 Thai Oct RSS3 Market Closed Closed
Sicom May RSS3 237.00 U.S cents/kg Up 1.00 cents/kg Sicom May TSR20 215.50 U.S
cents/kg Up 1.25 cents/kg The following are today's physical prices in Asia,
quoted in U.S. cents a kilogram, FOB basis Grade Shipment Apr 16 Apr 13
Bids Offers Bids Offers RSS3 May - Closed - Closed STR20 May - Closed - Closed
SIR20 May - 213.8 - 211-213 SMR20 May - 224.5 - 219 USS3 Apr Closed Closed
-By Andrew Jones, Dow Jones Newswires; 65-6415-4083; [EMAIL PROTECTED]
-Edited by George Bernard
(END) Dow Jones Newswires
April 16, 2007 07:11 ET (11:11 GMT)
Copyright (c) 2007 Dow Jones & Company, Inc.- - 07 11 AM EDT 04-16-07
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