Tokyo rubber futures ended 1.6 percent higher on Friday, supported by firm oil prices, but the upside was still capped by profit-taking, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for September delivery rose 6.7 yen, or 1.6 percent, to settle at 419.0 yen ($5.119)per kg. It rose as much as 3 percent to an intra-day high of 425.0 yen before profit-taking set in.
The most-active rubber contract on the Shanghai Commodity Exchange for September delivery also rose 270 yuan to settle at 34,780 yuan ($5,355.772) per tonne. "The rubber market was still supported but it seemed likely prices were trapped in range trade as players were still cautious about the rise and there was no major fresh news to push up prices significantly," one dealer said. TOCOM rubber was expected to stay at relatively firm levels supported by strong fundamentals. However, rises in futures were expected to be limited by profit-taking, dealers said.
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