Tokyo rubber futures slipped on Thursday due to profit-taking after recent rises, but low supply and firm oil prices still supported prices to stay near a 5-month high level, dealers said. The benchmark rubber contract on the Tokyo Commodity Exchange for July delivery fell 0.1 yen to settle at 337.5 yen ($4.20) per kg. The most active Shanghai rubber contract for May delivery was up 135 yuan to finish at 29,235 yuan ($4,600) per tonne.
The front-month March rubber contract on SICOM was steady at 380.30 US cents per kg. "Small investors took profit after recent rises. However, thin trading volume and firm oil prices helped limit losses," one dealer said. Dealers said TOCOM prices were expected to rebound on Friday as technical sentiment improved after prices finished above a major support level of 330 yen, while seasonal falling supply should lend additional support.
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