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Japan futures climb as stronger oil prices, weaker yen support



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SINGAPORE, July 29 (Reuters) -

  • Japanese rubber futures inched higher on Monday, supported by firmer oil prices and a weaker yen, although softer synthetic rubber prices capped gains.

  • The Osaka Exchange (OSE) rubber contract for January delivery JRUc6, 0#2JRU: was up 0.4 yen, or 0.13%, at 318.1 yen ($2.07) per kg, as of 0150 GMT.

  • The September rubber contract on the Shanghai Futures Exchange (SHFE) SNRv1 rose 20 yuan, or 0.14%, to 14,405 yuan ($1,986.21) per metric ton.

  • Oil prices rose on Monday on fears of a widening conflict in the Middle East following a rocket strike in the Israeli-occupied Golan Heights. O/R

  • Natural rubber often takes direction from oil prices as it competes for market share with synthetic rubber, which is made from crude oil.

  • The yen edged lower on Monday to 154.24 yen JPY=EBS against the dollar, after a week when it surged to its strongest levels in 12 weeks, as a recovery in equity markets sapped demand for the currency as a safe haven. USD/

  • A flush out of long-held short yen positions also appeared to have run its course by the end of last week, with traders now looking to central bank decisions in Japan and the U.S. on Wednesday for further direction.

  • A weaker currency makes yen-denominated assets more affordable to overseas buyers. FRX/

  • The most active September butadiene rubber contract on the SHFE SHBRv1 was down 160 yuan, or 1.08%, at 14,620 yuan ($2,015.86) per metric ton.

  • Rubber prices could exhibit sideways movement for the next couple of weeks amid market uncertainty, Japan Exchange Group said in a report on Monday.

  • Top rubber producer Thailand's meteorological agency warned of heavy rains that may cause flash flood and overflows from July 28-29.

  • The front-month August rubber contract on Singapore Exchange's SICOM platform STFc1 was last flat at 162.8 U.S. cents per kg.

($1 = 153.4300 yen)

($1 = 7.2525 yuan)




Reporting by Gabrielle Ng; Editing by Sherry Jacob-Phillips

For morning and afternoon prices at Thailand's state-run central rubber market, click on RUB-BKK3.
For other physical rubber prices in Thailand, click on RUB-BKK1, RUB-BKK2.
For more details on Indonesian and Malaysian prices click on RURKJK and RUQG.
* Reuters Terminal users can see cash and futures rubber prices by double clicking on the codes in the brackets:

- Tokyo rubber futures -- 0#JRU:
- Shanghai rubber futures -- 0#SNR:
- Singapore rubber futures -- 0#SRS:0#SRU:0#STF:
- Thai rubber futures -- 0#ARU:0#ASR20:
- All rubber news RUB
- Tokyo rubber report RUB/T
- Shanghai rubber report RUB-CN
- Thailand rubber report RUB/TH
- Asian rubber report RUB/AS

For Related News and other topics, double click on one of these codes: SPEED GUIDES RUBBER1, SOFTS/NEWS1
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