Japan futures hit 4-week low

TOKYO: Japanese rubber futures fell to four-week lows on Tuesday as slumping Tokyo stocks prompted selling amid escalating worries about potential military conflict in Ukraine and a faster pace of US Federal Reserve policy tightening.

The Osaka Exchange rubber contract for June delivery was down 1.3 yen, or 0.6%, at 236.9 yen ($2.1) per kg, as of 0221 GMT, after touching the lowest since Dec. 29 of 233.0 yen earlier in the session.

Japan’s benchmark Nikkei average was down 2%.

The Fed begins a two-day policy meeting later in the global day, and investors will be anxious for any hints on the timing and pace of rate hikes, as well as about how fast the central bank will shrink its more than $8 trillion holdings of Treasuries and mortgage debt.

NATO said on Monday it was putting forces on standby and reinforcing eastern Europe with more ships and fighter jets, in what Russia denounced as Western “hysteria” in response to its build-up of troops on the Ukraine border.