Tokyo Commodity Exchange (TOCOM) futures, which set the tone for rubber prices in Southeast Asia, rose more than one percent on Wednesday, as investors adjusted positions, but a murky global economic growth outlook capped gains. The benchmark TOCOM rubber contract for September delivery finished 2.1 yen, or 1.1 percent, higher at 185.8 yen ($1.68) per kg.
The most-active rubber contract on the Shanghai futures exchange for May delivery fell 190 yuan to finish at 11,335 yuan ($1,687) per tonne. TOCOM's technically specified rubber (TSR) 20 futures contract for September delivery closed up 0.5 percent at 163.0 yen per kg.
The front-month rubber contract on Singapore's SICOM exchange for April delivery last traded at 143.9 US cents per kg, down 1.2 percent. "Investors in Japan were adjusting their positions ahead of the end of their business year on March 31," said Toshitaka Tazawa, an analyst at commodities broker Fujitomi Co.
"But with lingering concerns over slowing growth in global economy, especially with the recent weak indicators from China, rubber market will likely stay under pressure," he said. The US dollar was quoted around 110.55 yen on Wednesday, compared with around 110.13 yen on Tuesday.
Oil prices were mixed on Wednesday, with Brent extending the previous session's rise, but gains were kept in check amid growing fears over the impact of a global economic slowdown on demand.
