SINGAPORE: Japanese rubber futures edged lower on Friday, weighed down by a stronger yen, although still headed for weekly gains amid a rally in the Shanghai market over continued hopes of an economic recovery and stronger demand in top buyer China.
The Osaka Exchange rubber contract for June delivery was down 1.0 yen, or 0.4%, at 225.0 yen ($1.75) per kg as of 0200 GMT. For the week, the benchmark OSE contract has gained about 1.9%. The rubber contract on the Shanghai futures exchange for May delivery was up 130 yuan, or 1.0%, at 13,055 yuan ($1,943) per tonne. Japan’s benchmark Nikkei share average opened down 0.22%.
The yen strengthened 0.2% to 128.93 per dollar, after touched a seven-month high of 128.65 earlier in the session. A stronger Japanese currency makes yen-denominated assets less affordable when purchased in other units. Rubber demand sentiment has been mixed over the past month after China relaxed its strict COVID-19 restrictions, which were immediately followed by a fresh wave of infections.
Comments
Comments are closed for this article.