SINGAPORE: Japanese rubber futures edged up on Tuesday, supported by positive sentiment over stronger-than-expected domestic factory output data, although losses in the Shanghai market capped gains.
The Osaka Exchange rubber contract for July delivery was up 1 yen, or 0.4%, at 233.9 yen ($1.80) per kg, as of 0200 GMT. The rubber contract on the Shanghai futures exchange for May delivery was down 120 yuan, or 0.9%, at 13,315 yuan ($1,971) per tonne. Japan’s benchmark Nikkei share average opened 0.09% higher.
Japanese factories cut output slightly in December, capping the worst quarter for manufacturers since the onset of the COVID-19 pandemic, hit by stalling global demand and rising costs.
Rubber’s demand sentiment has been positive lately following China’s relaxation of its strict COVID curbs, which had dampened consumption and industrial activity since the start of the pandemic.
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