Tokyo rubber futures up 2.6 percent

Tokyo rubber futures ended 2.6 percent higher on Friday, supported by rising oil prices and easing concerns about Europe's debt crisis, but gains were capped by profit-taking ahead of the weekend, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for March delivery rose 7.9 yen, or 2.6 percent, to settle at 316.1 yen ($4.1) per kg.
The Shanghai rubber futures exchange as well as Chinese financial markets were closed this week for a holiday. "Rubber got support from oil and stock markets as fears about the eurozone eased but profit-taking still limited the rise," one dealer said. Brent crude stayed firm above $105.50, boosted by Europe's move to shore up ailing banks and a view that the US economy may not be sliding into recession. Dealers said TOCOM prices were expected to rise further next week when Chinese investors get back from holiday, which should help trading volume and could push prices higher.