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Japan futures rise on Thai weather concerns, weak yen



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SINGAPORE, July 4 (Reuters) -

  • Japanese rubber futures firmed on Thursday on concerns about weather in top producer Thailand and a weak yen, although gains were capped by lower oil prices.

  • The Osaka Exchange (OSE) rubber contract for December delivery JRUc6, 0#2JRU: rose 1.2 yen, or 0.36%, to 332.6 yen ($2.06) per kg as of 0155 GMT.

  • The rubber contract on the Shanghai Futures Exchange (SHFE) for September delivery SNRv1 was up 65 yuan, or 0.43%, at 15,110 yuan ($2,078.38) per metric ton.

  • Thailand's meteorological agency warned of heavy rains that may cause flash flood from July 4-7.

  • The La Niña weather pattern is expected to impact rubber plantations in Thailand, which may "reduce rubber yields and increase susceptibility to leaf disease," said a Singapore-based trader.

  • The yen JPY= remained stuck not far from a low of 161.96 per dollar hit in the previous session, its weakest since December 1986.

  • Traders were preparing for possible Japanese government currency intervention with U.S. markets off for the July Fourth holiday, given Tokyo stepped in on April 29 and May 1 during illiquid points in the global trading day or holiday thinned trading.

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

  • Oil prices fell in early trade after U.S. employment and business activity data came in weaker than expected, in signs the economy may be cooling in the world's top oil consuming nation. 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 front-month rubber contract on Singapore Exchange's SICOM platform for August delivery STFc1 last traded at 169.6 U.S. cents per kg, down 0.1%.


($1 = 161.3700 yen)

($1 = 7.2701 yuan)




Reporting by Gabrielle Ng; Editing by Subhranshu Sahu

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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