Benchmark Tokyo rubber futures rose on Friday, closing at their highest level in three months, helped by a firmer Shanghai futures and fresh buys from some funds.
The Tokyo Commodity Exchange (TOCOM) rubber contract for January delivery finished 2.6 yen, or 1.2 percent, higher at 219.2 yen ($2.00) per kg, the highest close since May 25. For the week, it rose 1.4 percent in its fourth straight weekly gain.
The August contract expired at 213.0 yen per kg on Friday.
The most-active rubber contract on the Shanghai futures exchange for January delivery rose 245 yuan to finish at 16,720 yuan ($2,509) per tonne.
"The Tokyo rally was backed by buying in late trade from funds which saw an upside potential going forward," said a Tokyo-based dealer.
"If the TOCOM breaks above the recent intra-day high of 220.3 yen, the market will move higher next week. But if it fails to do so, it may remain in a tight range below 220 yen, just like this week," the dealer said.
The front-month rubber contract on Singapore's SICOM exchange for September delivery last traded at 155.0 U.S. cents per kg, up 1.5 cents.
Rubber inventories in warehouses monitored by the Shanghai Futures Exchange rose 2.8 percent from last Friday, the exchange said.
