[13 Nov] Tocom RSS3 Rubber Futures Rise to 13-Month High on Tight Supply

Natural rubber futures on the Tokyo Commodity Exchange rose to a 13-month high on short covering as investors scrambled to cut their losses amid tight supply in the physical market.

The benchmark Tocom RSS3 contract for April delivery traded up Y6.2, or 2.7%, at Y236.8/kg, a level not seen since early October last year.

"Many investors who were short are closing their positions to cut losses," said a Tokyo-based broker with Okachi Corp.

Tocom rubber futures rose to Y235.7/kg on Oct. 23 and was facing strong resistance at that level until it was broken today.

Traders said prices may now even rise towards Y240/kg.

(Source: http://irco.biz)