TOCOM ends up 1.6pc on firm Shanghai futures

TOKYO: Benchmark Tokyo rubber futures ended up 1.6 percent on Wednesday as investors bought back after two days of declines, supported by gains in Shanghai futures.

Tokyo Commodity Exchange (TOCOM) futures, which set the tone for tyre rubber prices in Southeast Asia, were also supported by gains in oil prices on expectations of a U.S. crude inventory draw, but trading was slow ahead of year-end holidays, dealers said.

The benchmark TOCOM rubber contract for May delivery finished 4.3 yen higher at 271 yen ($2.30) per kg, down from a 3-1/2-year high of 291.7 yen hit on Friday that came on the back of a weaker yen against the dollar.

The front-month contract for December delivery expired on Wednesday, settling down 0.9 yen at 266 yen.

The most-active rubber contract on the Shanghai Futures Exchange for January delivery rose 265 yuan to finish at 19,360 yuan ($2,785) per tonne.

The front-month rubber contract on Singapore's SICOM exchange for January delivery last traded at 193 U.S. cents per kg, down 1.2 cent.