BANGKOK: Tokyo rubber futures jumped 6.8 percent to a three-week high on Thursday on the back of surging share markets and oil prices and may rise further as sentiment improved after prices finished above a key resistance of 280 yen, dealers said.
The benchmark rubber contract on the Tokyo Commodity Exchange for May delivery rose 13.4 yen to settle at 280.8 yen ($3.62) per kg.
It rose as high as 18.3 yen, or 6.8 percent, to an intra-day high of 285.7 yen, the highest since Nov. 8.
The most-active rubber contract on the Shanghai commodity exchange for May delivery ended 1,135 yuan higher to finish at 25,925 yuan ($4,100) per tonne after jumping to its daily limit of 26,475 yan per tonne.
"TOCOM jumped in line with shares prices and may rise further on Friday if oil prices continue to rise," one dealer said.
The Nikkei average surged to a two-week high on Thursday after the world's central banks took coordinated action to ease funding strains among banks caused by the debt crisis in Europe.
Brent crude traded above $110 for the third session on Thursday after the move by the world's major central banks and worry about sanctions against Iran.
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