Tokyo rubber falls 1.4%

Print this page Posted on : 08-30-2007 by recycleinme.com

Tokyo rubber futures dropped on Wednesday under pressure from a strengthening yen and sell-offs of other commodities fuelled by a slide of global stocks.

The benchmark rubber contract on the Tokyo Commodity Exchange for February delivery fell 3.5 yen, or 1.4 per cent, to settle at 241.5 yen ($2.11) per kg. It fell as low as 239.0 yen, below the 7-day moving average of 239.4 yen, signaling rubber futures could fall further as technical sentiment was still poor, dealers said.

Rubber futures slid in line with stock markets around world as renewed worries about the economy and a credit squeeze triggered a sharp drop on Wall Street, dealers said.

“Statistically TOCOM prices could fall further, especially if the yen remains firm,” one said.

Source : Business Line