Rubber climbs as US consumer spending boosts demand optimism
Thursday, 17 September 2009
TOKYO, Sept. 16 (Bloomberg): Rubber jumped, advancing for a second day, after US retail sales in August expanded by the most in three years, increasing speculation that a recovery in the world's largest economy will swell demand.
Futures in Tokyo surged as much as 4.8 per cent, also boosted by Federal Reserve Chairman Ben S. Bernanke's comments in Washington yesterday that the worst US recession since the 1930s has probably ended. Rubber plunged to a six-week low yesterday amid concern that demand in China, the world's largest consumer, may be hurt by a US tariff on Chinese tire imports.
February-delivery rubber gained as much as 9.4 yen to 206.4 yen a kilogramme ($2,278 a metric ton) on the Tokyo Commodity Exchange before settling at 203.3 yen.
The 2.7 per cent increase in US retail sales exceeded economists' forecasts and followed a 0.2 per cent drop in July, Commerce Department figures showed. Purchases excluding automobiles climbed 1.1 per cent, topping the highest forecast.
Futures in Tokyo surged as much as 4.8 per cent, also boosted by Federal Reserve Chairman Ben S. Bernanke's comments in Washington yesterday that the worst US recession since the 1930s has probably ended. Rubber plunged to a six-week low yesterday amid concern that demand in China, the world's largest consumer, may be hurt by a US tariff on Chinese tire imports.
February-delivery rubber gained as much as 9.4 yen to 206.4 yen a kilogramme ($2,278 a metric ton) on the Tokyo Commodity Exchange before settling at 203.3 yen.
The 2.7 per cent increase in US retail sales exceeded economists' forecasts and followed a 0.2 per cent drop in July, Commerce Department figures showed. Purchases excluding automobiles climbed 1.1 per cent, topping the highest forecast.