TOCOM rises after top producers agree to cut exports until March

Benchmark Tokyo rubber futures rose on Monday, helped by news that top producing countries have agreed to slash exports by up to 350,000 tonnes until March next year, but trades were thin due to the holiday season. A group of three of the world's top natural rubber producers will cut exports by up to 350,000 tonnes in total from now until March, the Thai agriculture ministry said on Friday, in a bid to address declining global prices. "The news lent support to the market," said Satoru Yoshida, a commodity analyst with Rakuten Securities.
"But many market participants are done for this year and I expect to see narrow-ranged trade for the rest of the week," he added. The Tokyo Commodity Exchange (TOCOM) rubber contract for new June delivery finished at 208.4 yen ($1.84) per kg, up 4.2 yen from an opening price of 204.2 yen. The most-active rubber contract on the Shanghai futures exchange for May delivery fell 65 yuan to finish at 14,030 yuan ($2,146) per tonne. Financial markets in the United States, U.K., Germany, France, Brazil, Hong Kong, Singapore, South Korea, India and Australia were closed on Monday for the Christmas holiday.