Rubber futures rally loses momentum as weather-related supply concerns ease

Tokyo – Natural rubber futures fell across major exchanges during the trading week ended 18 Sept, as profit-taking and long liquidation followed the recent market rally.

In Osaka, Japan, OSE’s February-2027 rubber contract ended the week 0.2% lower week-on-week in “subdued trading,” Japan Exchange Group (JPX) said in a 21 Sept market review.

The Japanese market was receiving “mixed signals”, JPX said, amid expectations of a weaker yen, concerns over the economic impact of further global interest-rate increases and uncertainty over the Bank of Japan’s rate-hike outlook.

In Shanghai, China, SHFE rubber ended 3.1% lower, while INE rubber declined 2.9% compared with a week earlier.

In Singapore, SICOM’s active December-2026 contract fell 2.2% in “moderate trading amid profit-taking and long liquidation.”

According to JPX, profit-taking by commodity funds and speculators emerged as prices showed limited further upside following the recent rally.

Weather-related supply concerns have also eased, with the impact of drought and El Nino conditions diminishing and the rainy season expected to arrive in the coming weeks.