[Dow Jones] Tocom rubber futures settle higher but volume traded thin at just 15,627 lots, inclusive of last night”s session. Short-covering ahead of weekend, recent firmness in crude oil prices main supportive factor though upside likely to remain capped at Y170/kg psychological resistance, barring fresh supportive leads. Benchmark November RSS3 contract settles Y2.3 higher at Y169.3/kg. (ANJ)

Source: Dow Jones

[Dow Jones] Tocom rubber futures settle higher, with sentiment bolstered by recent strong gains in crude oil prices, while weaker yen vs dollar also a supportive factor. Further upside now expected as benchmark November contract snaps recent minor resistance at Y166/kg; next upside target Y170/kg, market observers say. Benchmark November RSS3 contract settles Y3.3 higher at Y167/kg. (ANJ)

Source: Dow Jones

[Dow Jones] Physical prices of Thai USS3 rubber rise slightly, despite sluggish buying interest, with low supply due to ongoing rain showers in key producing regions continuing to lend mild support, says trader. Adds, despite recent rain leading to a reduction in tapping, output, the increased moisture is beneficial for trees; output likely to increase significantly from mid-June, when rains expected to subside. Thai USS3 traded at THB56.00/kg vs THB54.49/kg yesterday, trader says. (ANJ)

Source: Dow Jones

[Dow Jones] Physical prices of Thai USS3 rubber rise slightly, despite sluggish buying interest, with low supply due to ongoing rain showers in key producing regions continuing to lend mild support, says trader. Adds, despite recent rain leading to a reduction in tapping, output, the increased moisture is beneficial for trees; output likely to increase significantly from mid-June, when rains expected to subside. Thai USS3 traded at THB56.00/kg vs THB54.49/kg yesterday, trader says. (ANJ)

Source: Dow Jones

TOKYO, May 27 (Reuters) – Benchmark Tokyo rubber futures rose almost 1 percent on Wednesday, with buying spurred by strong crude oil prices and a recovery in the dollar versus the yen.
* But the Tokyo market has largely been stuck in a range between 160 and 165 yen per kg in the past few days, with the topside capped by a lack of investor confidence in demand for the industrial commodity.
* The key Tokyo Commodity Exchange rubber contract for November delivery <0#JRU:> settled at 163.7 yen per kg, up 1.4 yen or 0.9 percent.
* Steady buying by major tyre makers has been detected in the physical rubber market recently, a sign that their inventory adjustments are over. [ID:nSP495759]
* But it remains to be seen how sustainable their buying is and how quickly and strongly automakers increase their production after a slump in global demand last year forced the sector to slash output.
* “It’s all up to automakers,” said a manager at a Japanese trading firm, referring to whether or not there is further buying of natural rubber by tyre makers. “Automakers in Japan, for example, have said they slowed down their output reduction in March and started to increase output in April, but their demand is still limited.”
* U.S. crude oil rose to a six-month high above $63 a barrel as a jump in U.S. consumer confidence and signs of modest recovery in Japanese exports buoyed hopes that oil demand would rebound as the global economy recovers. [O/R]
* Japan’s exports to China in April declined at a slower pace than a year earlier. [ID:nT224936]
* The dollar rose 0.4 percent to 95.42 yen , following an improvement in U.S. consumer confidence. [USD/] A weaker yen inflates yen-based commodity futures prices.
* General Motors on Wednesday prepared to face the fallout from a failed debt exchange that sends the largest U.S. automaker closer to a bankruptcy filing expected by the end of the month. [ID:nN26513310]
* “Any big news on GM is being carefully awaited as it would have an impact on equities,” the manager said.

Source: Reuters