TOKYO, Aug 26 (Reuters) – Benchmark TOCOM rubber futures rose on Friday, snapping a 4-day losing streak and recovering from a 1-1/2-month low as investors covered short positions on firmer oil prices, but the contract was still headed for a weekly drop.
The Tokyo Commodity Exchange (TOCOM) new rubber contract for February delivery JRUc6 0#2JRU: was at 150.4 yen ($1.50) per kg as of 0059 GMT, up 0.9 yen, or 0.6 percent, from its opening price of 149.5 yen. For the week, the benchmark, which hit its lowest since July 11 of 148.6 yen on Thursday, was on track for a 4.2 percent decline. RUB/T
The International Tripartite Rubber Council (ITRC), a grouping of Asia’s top three rubber-producing countries, will reduce exports by an additional 85,000 tonnes from September to December this year, an Indonesian rubber industry official said on Thursday.
The TOCOM August contract expired on Thursday at 161.3 yen.
Crude rubber inventories at Japanese ports stood at 8,519 tonnes as of Aug.
10, down 0.9 percent from the last inventory date, data from the Rubber Trade Association of Japan showed on Thursday.
Federal Reserve Chair Janet Yellen will deliver the keynote speech at a global central bank gathering in Jackson Hole, Wyoming, later in the day.
She could send a clear signal that the Fed is gearing up for a hike this year, though many analysts believe she will stick to her less concrete stance that monetary policy is data-dependent and a hike is possible.
Oil prices rose 1 percent on Thursday on U.S.-Iran military tensions in the Gulf and speculation the dollar will fall on a monetary policy speech due from the U.S.Federal Reserve chair.
The U.S. dollar was flat against the yen at 100.51 yen JPY= in early Friday ahead of Yellen’s speech. It was on track for a 0.3 percent rise for the week. FRX/
Japan’s benchmark Nikkei stock average (XC0009692440) fell 0.8 percent in Friday trade, tracking an overnight dip on Wall Street. MKTS/GLOB
The following data is expected on Friday: (Time in GMT)
0600 Germany GfK consumer sentiment Sep
0645 France Consumer confidence Aug
1230 U.S. GDP 2nd estimate Q2
1230 U.S. Wholesale inventory Jul
($1 = 100.4200 yen)
(Reporting by Yuka Obayashi; Editing by Richard Pullin)