Tokyo rubber futures hit 14-month low

Renewed worries about Europe's debt crisis dragged Tokyo rubber futures to their lowest level in 14 months on Thursday, below the key psychological level of 300 yen, with weaker oil and share prices adding to the pressure, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for March delivery tumbled 20.0 yen, or 6.6 percent, to settle at 281.5 yen ($3.66) per kg.
That was the lowest since mid-August 2010. The most active rubber contract on the Shanghai futures exchange fell 1,170 yuan to finish at 25,445 yuan ($3,989) per tonne. "Rubber sentiment was not so good after prices broke below 300 yen and it seemed like Europe's debt crisis could weigh on the market longer than expected," one dealer said. Dealers said they expected TOCOM prices to move in a range of 280-290 yen on Friday.