Tokyo futures higher, upside still capped
BANGKOK: Tokyo rubber futures were higher on Thursday, supported by firm oil prices but upside was still capped by profit-taking, dealers said.
The benchmark rubber contract on the Tokyo Commodity Exchange for February delivery rose 3.8 yen to settle at 369.9 yen ($4.7) per kg.
It briefly broke above a key psychological level of 370.0 yen before profit-taking set in.
The most-active Shanghai rubber contract for January delivery slipped 70 yuan to finish at 33,765 yuan ($5,280)per tonne.
"TOCOM lacked the follow-through buying force to stay above 370 yen as investors took profit. However, TOCOM could rise again tomorrow if oil prices remain firm," one dealer said.
Brent crude held steady above $115 a barrel, after a $3 surge in the previous session, in line with a rebound in equity markets as a ruling by a top German court helped assuage fears that euro zone bailout efforts might get stalled.
Copyright Reuters, 2011
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