Key Tokyo rubber futures ended down 1.2 percent on Monday as declines in oil and other commodities and a fall in the euro made investors wary amid concerns that Europe's pact on closer fiscal union may not be enough to contain its debt crisis. The key Tokyo Commodity Exchange rubber contract for May delivery settled down 3.5 yen at 277.4 yen per kg after falling as low as 275.5 yen.
The most active Shanghai rubber contract for May delivery plunged 1.33 percent to 25,735 yuan ($4,000) per tonne. Volume stood at 774,842 lots. "Risk-averse investors pulled out money after seeing declines in the euro and oil prices," said a trader. US light crude oil fell $1 TO $98.41 per barrel in late trading on Monday, hit by a stronger dollar. The dollar was flat on the yen, last trading at 77.66 yen. The Nikkei average gained on Monday after European leaders agreed to draft a new treaty for deeper economic integration, but market players said the short-covering bounce may not last as the deal was no panacea for the region's long-term debt worries.
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