TOKYO—Natural rubber futures continued to gain for the third week in a row amid supply concerns and China's economic stimulus introduced last week.
The trading week ended Sept. 27 saw "sharp" rises in pricing, driven by robust buying from China's commodity funds and speculators, the Japan Exchange Group (JPX) reported in its Sept. 30 filing.
In Osaka, Japan, OSE rubber contracts for February 2025 delivery surged 6.7 percent week-on-week, while China's SHFE and INE futures were also up 2.9 percent and 2.0 percent, respectively.
In Singapore, SICOM's active December 2024 contract gained 3.4 percent week-on-week amid strong physical and speculative demand.
Market sentiment during the week was positive as China's central bank cut its reserve requirement ratio by 0.5 percentage points, releasing approximately $142 billion for new lending.
The agency also lowered the seven-day repo rate by 0.2 percentage points to 1.5 percent.
The "larger-than-expected" stimulus, according to JPX, ignited a rally in both equities and commodities.
Meanwhile, concerns over rubber supply and recent flooding in key producing regions further supported price gains.
