Tocom Rubber Lower; Rangebound Trade To Continue, Says IRCo � Dow Jones

22 July 2014, 09:12 SEAST

Tocom RSS3 rubber futures are lower in rangebound trade with prices finding support at the Y200/kg level.

International Rubber Consortium chief executive Yium Tavarolit says he expects natural rubber prices to move in a narrow range this week as market fundamentals and sentiment remains unchanged.

The Economist Intelligence Unit says in a report last week that rubber consumption is likely to rise 3.9% this year, although the demand growth will not be enough to eliminate a “substantial market surplus”, weighing on prices.

Benchmark December rubber trades Y1.7 lower at Y200.5/kg, after moving in the Y199.7-Y203.2/kg range.