Rubber Climbs for Second Day as Yen Drops Before U.S. Jobs Data
Rubber advanced for a second day as Japan’s currency extended a decline before U.S. payrolls data, raising the appeal of yen-denominated futures.
The contract for March delivery gained as much as 1.1 percent and was 0.4 percent higher at 269.5 yen a kilogram ($2,742 a metric ton) on the Tokyo Commodity Exchange at 11:36 a.m. local time. The increase pared losses to 11 percent this year for a most-active contract.
The yen fell to 98.35 a dollar, the weakest since Oct. 17. The U.S. Labor Department may say today employers added 180,000 jobs in September, after boosting positions by 169,000 in August, according to the median estimate of economists surveyed by Bloomberg News. The unemployment rate probably held at 7.3 percent, matching the lowest in 4 1/2 years.
“Data signaling an economic recovery will be positive for the demand outlook for the commodity,” said Hideshi Matsunaga, an analyst at broker ACE Koeki Co. in Tokyo.
Gains in futures were limited after oil in New York slid to a three-month low, weakening speculation the price of competing synthetic rubber will increase. West Texas Intermediate oil traded below $100 a barrel for a second day after U.S. stockpiles climbed to a 15-week high.
Rubber for January delivery on the Shanghai Futures Exchange lost 0.2 percent to 20,555 yuan ($3,373) a ton. Thai rubber free-on-board fell 0.6 percent to 79.55 baht ($2.55) a kilogram yesterday, according to the Rubber Research Institute of Thailand.
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