Tokyo futures hit new high

Tokyo rubber futures jumped to a new record on Thursday, on the back of speculative buying due to concerns of tight supply and firmer oil prices. The benchmark rubber contract on the Tokyo Commodity Exchange for July delivery rose 9.9 yen to settle at 513.9 yen ($6.25) per kg. It rose as high as 515.0 yen per kg, its highest ever.
Dealers said TOCOM prices were expected to rise further on Friday on the back of strong demand and thin supplies as dry weather cuts supply in producing countries. TOCOM rubber was expected to rise further to test new resistance of 520 yen per kg, with the 500 level being seen as a strong psychological support level, they said.