Tokyo rubber rises

Tokyo rubber futures jumped higher on Friday as a perception that supply was tight prompted short-holders to cover positions.
The benchmark November rubber contract on the Tokyo Commodity Exchange (TOCOM) settled up 4.2 yen per kg at 153.8 yen, just short of the days high of 153.9 yen, with the day's low at 151.1 yen.
The price was the highest for the contract since it hit 154.8 yen on June 2. Other months rose by 3.8-4.6 yen. TOCOM has received applications for 40 lots of rubber for delivery inspection against the spot contract's expiry on June 24.
Deliveries last month were 300 lots. "The figure prompted the view that physical deliveries might be tight, with gains in the spot month leading the market higher," he said.
The dollar was at 109.54/59 yen at TOCOM's close, compared with 109.62 in late New York trade. The US currency was largely stable against the yen after a series of robust US economic reports shed little new light on the pace of a hike in US interest rate. Turnover in TOCOM rubber was estimated at a brisk 8,500 lots, compared with Thursday's 3,614 lots.