The Key Tokyo Commodity rubber futures obtained gains early Monday and ended up flat, as the consumption of China, the world’s biggest consumer of rubber, continues to slow down.
Rubber traders said that the rubber prices could reduce more this week when the export curbs in Thailand, Malaysia and Indonesia, of the three key producers of rubber, will be introduced.
“The market has risen since August on the news (of the curbs), but investors have already taken them into account and could start to sell a bit this week,” said Kazuhiko Saito, chief commodities analyst at trading house Fujitomi Co. He sees support at around 250-255 yen.
Kuzuhiko Saito, Chief Commodities analyst at Fujitomo Co. said that the market has improved since August but the investors have already considered them and will start selling some rubber this week.
TOCOM is at its dull moment, but will be improving next week as the week-long national holiday of China closes.
(PRA)