Tokyo rubber futures jumped 3 percent on Wednesday (DEC 21)

SINGAPORE, Dec 21 (Reuters) – Tokyo rubber futures jumped 3 percent on Wednesday after upbeat U.S. and German data and strong demand for Spanish debt lifted equity and energy markets. FUNDAMENTALS

* The benchmark rubber contract on the Tokyo Commodity Exchange, May 2012, added 7.5 yen a kg to 278.8 yen by 0056 GMT after rising as high as 279.7 yen. The contract plunged to a near 2-year low of around 248 yen in November.

* Global demand for rubber, both natural and synthetic, is forecast to reach 27.2 million tonnes in 2012 versus 25.7 million tonnes in 2011, the International Rubber Study Group said.

* U.S. housing starts and building permits jumped to a 1-1/2 year high in November as demand for rental apartments rose, suggesting the housing market was entering a tentative recovery.

* Suzuki Motor Corp plans to increase the annual production of its fuel-efficient gasoline engine fourfold to 400,000 units per year, the Nikkei business daily said.

 MARKET NEWS

* The Nikkei average gained on Wednesday and looked set to test major resistance at its 25-day moving average after smooth debt sales in Europe and positive housing data in the United States.

* U.S. crude futures rose on Wednesday in early Asian trade as stronger-than-expected U.S. economic data allayed fears of demand falling in the world’s biggest oil consumer.

(GMT) DATA/EVENTS

0330 Japan BOJ rate decision Dec

0900 Italy GDP prelim yy

1500 U.S. Exist. home sales % chg Nov 1500 U.S. Existing home sales Nov

(Reporting by Lewa Pardomuan; Editing by Sugita Katyal)

Source: http://sg.finance.yahoo.com

Posted in: RUBBER NEWS