By Ruth Chai
March 19 (Reuters) -
Japanese rubber futures are set to decline for a third session on Thursday ahead of a long weekend, as supply pressures are expected to ease, with tapping expected to start next week after the wintering season.
The Osaka Exchange (OSE) rubber contract for August delivery JRUc6, 0#2JRU: was down 2.4 yen, or 0.65%, at 368.1 yen ($2.31) per kg as of 0220 GMT.
The rubber contract on the Shanghai Futures Exchange (SHFE) for May delivery SNRv1 fell 350 yuan, or 2.12%, to 16,155 yuan ($2,342.09) per metric ton.
The most active May butadiene rubber contract on the SHFE SHBRv1 rose 240 yuan, or 1.56%, to 15,600 yuan per metric ton.
Supply pressures are anticipated to ease as peak rubber harvesting season in April and May approaches, with tapping set to begin next week, several Chinese brokers said.
The long weekend in Japan prompted investors to close positions and book profits. However, a weaker yen and higher oil prices helped limit the downside.
The yen JPY=EBS was up 0.1% at 159.78 against the dollar, teetering on the cusp of a two-year low at the start of trading on Thursday. USD/
Investors are also eyeing the Bank of Japan's decision on interest rates amid inflation worries. FRX/
Oil prices settled higher on Wednesday and climbed further in extended trade after Iran attacked several energy facilities across the Middle East following a strike on its South Pars gas field, a major escalation in its war with the U.S. and Israel. O/R
In automobile news, China's Geely Auto 0175.HK aims to sell 640,000 cars overseas in 2026, 50% more than last year.
The front-month rubber contract on Singapore Exchange's SICOM platform for April delivery STFc1 last traded at 188.6 U.S. cents per kg, down 1.9%.
The Osaka Exchange will be closed on Friday, March 20, for a holiday.
($1 = 159.6200 yen)
($1 = 6.8977 yuan)
(Reporting by Ruth Chai; Editing by Sonia Cheema)
((Ruth.Chai@thomsonreuters.com;))
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