Thursday, July 11, 2013

Rubber rebounds as oil rally


Rubber climbed after oil in New York surged to a 15 month high, boosting the appeal of natural rubber as an alternative to synthetic rubber. Rubber chased gains in oil amid speculation that the U.S will maintain monetary stimulus to support growth. Rubber for delivery in December on the Tokyo Commodity Exchange advanced to ¥245.1 a kg, after touching a low of ¥235.6 a kg.

According to the customs agency, natural rubber imports by China, has decreased to 130,000 tonnes in June 2013, from 163,317 tonnes in June 2012 and 177,400 tonnes in May 2013.

Heavy rains disrupting rubber tapping in Kerala and the growers are holding on to the available stock in anticipation of further rise in natural rubber prices. Currently rubber is at its nine month high.

No comments:

Post a Comment