Tokyo rubber down 1.2 percent

Tokyo rubber futures ended 1.2 percent lower on Thursday as a recent rally ran out of steam but losses were limited by firm oil prices and falling supply in the physical market, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for August delivery fell 4.1 yen, or 1.2 percent, to settle at 333.1 yen ($3.98) per kg.
It was forecast to be at 335 yen per kg by the end of the second quarter in a Reuters poll on Thursday. The most active rubber contract on Shanghai rubber futures for May delivery fell 305 yuan to finish at 28,570 yuan ($4,500) per tonne. The front-month April contract on Singapore's SICOM exchange was last traded at 377.0 US cents per kg, down 2.4 cents. "TOCOM prices failed to stay above the 335 yen level and volume was quite thin. So prices lacked the momentum to rise further and that encouraged players to liquidate contracts to stop losses," one dealer said.