Benchmark Tokyo rubber futures extended gains to a fresh 14-month high on Wednesday, backed by a softer yen and as Shanghai futures sustained upward momentum, dealers said. The Tokyo Commodity Exchange rubber contract for November delivery rose 3 yen, or 1.3 percent, to settle at 234.2 yen ($1.90) per kg. It earlier hit 235 yen, the highest since April 2, 2014.
"There was no fresh fundamental news," said Toshitaka Tazawa, an analyst at Fujitomi Co "But Shanghai futures kept on rising on the back of a firmer Shanghai stock index, which helped TOCOM," he said. The most-active rubber contract on the Shanghai futures exchange for September delivery rose 210 yuan to finish at 14,550 yuan ($2,346.36) per tonne.
The Shanghai Composite Index gained 0.6 percent to 4,941.71 points. The greenback was quoted around 123.38 yen in late Asian trade, a high not seen since mid-2007. A break past its June 2007 peak of 124.14 would take it to levels last seen in late 2002. The front-month rubber contract on Singapore's SICOM exchange for June delivery last traded at 160.4 US cents per kg, up 0.4 cent.
