S'pore rubber futures hit by rupiah<\/p>\n
SINGAPORE (Reuters): Rubber futures on the Singapore Commodity
\nExchange (SICOM) fell along with Tokyo and on fears of further
\nweakness as the Indonesian rupiah tumbled, dealers said
\nyesterday.<\/p>\n
\"The market is partly depressed by Japan. Also, consumers feel
\nthere is more weakness to come, especially in Indonesian prices
\ngiven the weaker rupiah,\" said a dealer with a European house.<\/p>\n
In Tokyo rubber futures, the benchmark May contract fell 2.8
\nyen to end at 88.7 yen on weak fundamentals and high stocks.<\/p>\n
Indonesian tire-grade SIR20 rubber prices were stable but
\nsentiment was jittery due to the rupiah's sharp drop on Tuesday,
\nwhen it fell to a low of 4,600 to the U.S. dollar on rumors,
\nofficially denied, that President Soeharto was in poor health.<\/p>\n
Dealers said Japan's drop to below 90 yen signaled further
\nprice erosion for the rubber market.<\/p>\n
\"Now that Japan has broken 90 yen, we are expecting the May
\ncontract to test 85 yen,\" said another dealer.<\/p>\n
Dealers were, however, reluctant to indicate support levels
\nfor rubber futures in the SICOM.<\/p>\n
On SICOM, the tire-grade RSS3 February contract was 65.25 U.S.
\ncents per kg against 66.25 on Tuesday.<\/p>\n
The February TSR20 FOB contract ended at a low of 74.75 U.S.
\ncents per kg compared to 75.50 previously.<\/p>\n
In Jakarta, tire-grade SIR20 offer prices were weaker in late
\ntrading on Wednesday amid a lack of buying interest and concerns
\nover the exchange rate, traders said.<\/p>\n
They said a deal was done overnight at 32.75 U.S. cents\/lb fob
\nPalembang for February shipment. Offer prices for January
\nshipment were quoted at 32.75 fob Padang.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/spore-rubber-futures-hit-by-rupiah-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}