Japanese rubber futures fell

SINGAPORE: Japanese rubber futures fell on Wednesday after a brief

Bounce in the previous session, as contracting industrial earnings in China outweighed hope for a stronger Q2 recovery, dampening investor sentiment.

The Osaka Exchange (OSE) rubber contract for December delivery was down 0.4 yen, or 0.2%, at 205.2 yen ($1.43) per kg as of 0205 GMT.

The rubber contract on the Shanghai futures exchange (SHFE) for

September delivery was down 30 yuan, or 0.3%, at 11,900 yuan ($1,646.99) per metric ton.

Japan’s benchmark Nikkei average opened up 0.83%.

Profits at China’s industrial firms shrank 18.8% year-on-year in the first five months of 2023, official data showed on Wednesday.

This comes after Chinese Premier Li Qiang’s comment on Tuesday that China will take steps to boost demand, invigorate markets, promote development while accelerating the green transition and opening “high level” parts of its economy to the outside world.

The yen firmed 0.15% against the dollar at 143.89, but remains near a seven-month low, leaving yen-dominated assets more affordable when purchased in other currencies.

Japan’s top currency diplomat Masato Kanda warned against the yen’s ongoing weakness on Wednesday, saying the authorities would take an appropriate response if moves become excessive.

Asian shares hesitated on Wednesday as surprisingly upbeat U.S. economic news warred with global growth concerns.

The front-month rubber contract on Singapore Exchange’s SICOM platform for September delivery last traded unchanged.