Tokyo rubber futures higher

Bangkok (march 25, 2011) : tokyo rubber futures ended slightly higher on thursday, supported by strong demand at a time when supply in major producing countries is tight, but gains were limited by profit-taking, dealers said.
the benchmark rubber contract on the tokyo commodity exchange for august delivery rose 2.8 yen, or 0.6 percent, to settle at 436.4 yen ($5.39) per kg. it rose 2 percent early in the session to 442.8 yen before profit-taking set in. "players started taking profits when prices tipped over 440 yen, the key resistance," said a tokyo-based trader.
however, some dealers said futures could rise further on friday, with 430 yen seen as a strong support level. the most active shanghai rubber contract for may delivery slipped 25 yuan to settle at 36,625 yuan ($5,585) per tonne. physicalrubber prices jumped at least 33 percent this week as tyremakers returned to the market and resumed buying after prices fell to levels they found acceptable.