Sept. 26 (Bloomberg) -- Rubber dropped for a third day as concerns grew that stimulus measures by central banks around the world may not be enough to boost global growth, sapping investor appetite for the commodity used to make tires.
March-delivery rubber, the contract with the largest volume, fell to end at 253.4 yen a kilogram ($3,266 a metric ton) on the Tokyo Commodity Exchange. The most-active contract has risen 5.5 percent this quarter, trimming this year’s loss to 3.8 percent.
Federal Reserve Bank of Philadelphia President Charles Plosser said new bond buying announced by the U.S. central bank this month probably won’t boost growth or hiring. Asian stocks extended a global decline, while oil fell from the lowest close in seven weeks, cutting the appeal of natural rubber.
“The market came under pressure amid concerns that central banks can do little to revitalize economies,” Kazuhiko Saito, an analyst at broker Fujitomi Co. in Tokyo, said today by phone.
Losses in futures were limited by speculation that buyers in China, the world’s largest consumer, will step up purchases ahead of holidays, he said. Markets in China will be closed next week for the National Day holiday.
January-delivery rubber rose 0.8 percent to close at 23,840 yuan ($3,782) a ton on the Shanghai Futures Exchange. Thai rubber free-on-board fell 0.1 percent to 96.65 baht ($3.12) a kilogram today, Rubber Research Institute of Thailand data show.
To contact the reporter on this story: Aya Takada in Tokyo at firstname.lastname@example.org
To contact the editor responsible for this story: James Poole at email@example.com