Benchmark Tokyo rubber futures were steady in light trade on Wednesday as investors were split on the market’s direction after prices hit a 16-month high earlier this month, and ahead of the outcome of the US Federal Reserve’s latest meeting. The Tokyo Commodity Exchange (TOCOM) rubber contract for November delivery closed 0.2 yen lower at 229.6 yen ($1.85) per kg after trading in a narrow range of 228.8-230.0 yen.
“The market was quite ahead of the Fed meeting,” said Jiong Gu, analyst at Yutaka Shoji Co. The most-active rubber futures contract on the Shanghai exchange for September delivery fell 70 yuan to finish at 13,900 yuan ($2,238.83) per tonne. The front-month rubber contract on Singapore’s SICOM exchange for July delivery last traded at 157.6 US cents per kg, down 2.2 cent.