Updated at 1pm, 6th August 2020:
The rubber price is recorded to increase in fourth successive session:
– Contracts on Osaka Securities Exchange (OSE) for January delivery is at 171.5 yen per kg, rising by 1.2 yen. The price sometimes reached 171.7 yen per kg, which is highest since 10th March, 2020
– Contracts on Shanghai Futures Exchange (SHFE) for September delivery is at 12.170 yuan per ton, rising by 0,4%
This increase can be explained by the following points: Firstly, some positive signs of economic recovery in America in July are hoped to recover the industrial production, which includes rubber process. Secondly, many car manufacturers show desire of boosting sales of car in the last months of the year when the coronavirus epidemic is moving toward relaxation. It is because of the fact that automobile sales around the world have been dropping sharply during the first half of 2020, which puts an adverse effect in rubber production.
