Tocom Rubber Price Closed Down

Tocom Rubber Price Closed Down

Rubber futures prices down for the fourth session of the Tocom on Wednesday, is near a seven-year low, as investors increase sales after Nikkei Japan extend theattenuation and the exchange rate of yen strengthened highest of 15 months.

Tocom rubber price for delivery in July 2016 ended down 0.3 147.1 yen in yen per kilogram after falling on 145.5 yen, close to its low of 7 years 144.5 yen reached last month.

"The market is still under pressure because of the stock market continues to declineand the yen stayed firm," said Satoru Yoshida, commodity analysts, Rakuten Securities.

The Nikkei index slipped 2.3 percent on Wednesday, closing at the lowest level since October 2014, because of concerns about the health of global banks and slowing economic growth. The dollar is down 0.3 per cent against the yen to 114.63, close to a 15-month low of 114.05 reached the previous day, on concerns about the State of the world bank, especially in Europe, which prompted investors to safer assets such as the yen. The strengthening of the yen makes assets denominated in yen less affordablewhen purchased in other currencies.

Japan's market was closed on Thursday to commemorate the National FoundationDay.

The night will be released initial jobless claim indicated decreased from the previous result. If unrealized will be able to strengthen the u.s. dollar. Yellen also would stillmeet u.s. Congress tonight.

We estimate that Tocom rubber price movement on trade tomorrow potentiallystrengthened to respond to a potential weakening of the Yen. For the subsequent trading session prices are expected to encounter Resistance level in the position of 152.00 yen. Next resistance is on 157.00 yen. In the meantime if the price rises will find Support in position 142.00 137.00 yen and yen.