Rubber declines
TOKYO - Rubber declined after oil rallied above $100 a barrel, strengthening concern that higher energy costs may stall the global economic recovery.
On Wednesday, the August-delivery contract lost as much as 1.4 percent to 470.6 yen a kilogram ($5,745 a ton) on the Tokyo Commodity Exchange before settling at 475.9 yen. The price reached 455 yen in after-hours trading on Friday, the lowest level since Jan 26.
"Oil's rally is the largest drag on rubber prices as it fueled concern about the global economic recovery," Kazuhiko Saito, an analyst at broker Fujitomi Co, said on Wednesday.
"Uncertainty about the future of the global economy is resurfacing," said Hiroichi Nishi, an equities manager in Tokyo at Nikko Cordial Securities Inc.
Bloomberg News
(China Daily 03/03/2011 page17)
