Markets

Rubber rises for 2nd day

(China Daily/Agencies)
Updated: 2010-05-28 09:26

TOKYO: Rubber advanced for a second day to the highest level in three weeks as a rally in crude oil and limited supplies from Thailand, the largest producer, boosted demand for the commodity used to make tires.

Related readings:  Rubber futures decline  European aid gives rubber a bounce  Drought takes bounce off rubber growers  Rubber demand up on vehicle sector expansion

Futures in Tokyo were also bolstered by a fall in Japan's currency against the dollar.

"Overall sentiment is bullish" given the gains in oil and other commodities, said Kazunori Kokubo, general manager of the international business department at commodity broker Yutaka Shoji Co.

Rubber for November delivery, the most-active contract on the Tokyo Commodity Exchange, rose as much as 3 percent to 281.90 yen per kilogram ($3,122 a metric ton) before settling at 281.3 yen.