Oil Price Bounce Lifts Japanese Rubber Futures

Japanese rubber futures rose on Tuesday due to the rebound in oil prices, but gains were limited by rising seasonal supply and weak tyre demand.

The Osaka Exchange (OSE) rubber contract for January delivery increased by 5.1 yen, or 1.23%, to 419.3 yen ($2.66) per kg.

The Shanghai Futures Exchange (SHFE) rubber contract for September delivery rose by 265 yuan, or 1.61%, to 16,685 yuan ($2,471.01) per metric ton.

Oil prices climbed 1% on Tuesday due to concerns that Middle East supply remains at risk as a diplomatic resolution to the US-Iran conflict appears elusive.