BANGKOK: Tokyo rubber futures fell on Friday on technical selling as players liquidated contracts after prices failed to break above a key resistance of 440 yen. Tight supply, however, spared more losses, dealers said.
The benchmark rubber contract on the Tokyo Commodity Exchange for August delivery fell 6.8 yen to settle at 429.6 yen ($5.30) per kg.
The most active Shanghai rubber contract for May delivery fell 175 yuan to settle at 36,450 yuan ($5,558) per kg.
Brent crude was steady near $116 on Friday ahead of protests planned in Bahrain, heading for a third straight weekly gain and up 1.5 percent since western powers launched a military campaign in Libya and turmoil flared in Yemen and Syria.
The dollar hovered near a 15-month low against a basket of currencies and was in sight of a 29-year trough against the Australian dollar as a bounce in equities suggested that risk appetite was on the mend.
TOCOM rubber were expected to rebound next week as players sought to test the resistance of 430 yen again. Tight supply in producing countries should provide support, dealers said.
Physical supplies remain tight after farmers in Thailand and Malaysia halted tapping. Trees stop producing latex in the dry season, which ends in late April.
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