SINGAPORE: Japanese rubber futures lost more ground Tuesday as the market faced pressure from lower crude oil prices. The Osaka Exchange (OSE) rubber contract for November delivery closed down 5.7 yen, or 1.7%, at 330.8 yen per kg as of 0139 GMT.
The rubber contract on the Shanghai Futures Exchange (SHFE) for September delivery gave up 210 yuan, or 1.4%, to 15,005 yuan per metric ton.
Oil prices eased as much as 1%, extending losses from a four-month low in the previous session, as investors worried about supply ticking up later in the year amid signs of weakening US demand. Natural rubber often takes direction from oil prices as it competes for market share with synthetic rubber, which is made from crude oil.
Japan’s Nikkei share average fell as investors booked profits after a recent rise, while top automaker shares struggled after Japan’s transport ministry found irregularities in applications to certify certain models.
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