(June 9, 2025)
Rubber India
Overview
Today, Japanese rubber futures experienced a decline after three consecutive sessions of gains. This drop is attributed to a slight easing of the U.S. dollar, coinciding with important trade discussions between the United States and China.
Key Market Developments
Japanese Rubber Futures:
The Osaka Exchange (OSE) saw the November rubber contract decrease by 4.1 yen (1.39%), settling at 290.2 yen per kg.
Shanghai Futures Exchange (SHFE):
The September rubber contract fell by 35 yuan (0.26%), now priced at 13,660 yuan per metric ton.
The July butadiene rubber contract increased by 25 yuan (0.22%), reaching 11,275 yuan per metric ton.
Singapore Exchange (SICOM):
The front-month rubber contract for July delivery traded at 160.6 U.S. cents per kg, down by 0.2%.
Thailand Rubber Prices:
The benchmark export-grade smoked rubber sheet (RSS3) increased by 1.08%, now at 73.9 baht.
Block rubber prices rose by 6.39%, standing at 69.95 baht.
Currency Effects
The U.S. dollar weakened by 0.3% against the yen, now at 144.39 JPY. This makes yen-denominated assets less appealing to foreign investors, potentially impacting demand.
Stock Market Insights
Japan’s Nikkei stock index rose by 0.9%, reflecting a generally positive market sentiment despite the rubber futures decline.
Oil Prices
Oil prices have maintained last week’s gains, with investors closely monitoring the ongoing U.S.-China trade talks. Natural rubber prices often follow oil trends, as natural rubber competes with synthetic rubber, which is derived from crude oil.
Seasonal Production Trends
The rubber market typically experiences low production levels from February to May, followed by a peak harvesting season that lasts until September.
Conclusion
The natural rubber market is currently influenced by currency fluctuations, global trade dynamics, and seasonal production patterns. As trade discussions unfold and oil prices stabilize, market participants will be watching closely for further developments.
