Tuesday, June 26, 2007

Rubber Declines in Tokyo on Concern Price Gains on Thai Fire Were Overdone

(Bloomberg) -- Rubber futures in Tokyo, the global
benchmark, fell on speculation a fire at a Thai rubber warehouse
pushed prices too high yesterday, given the lack of likely
restrictions on supply.

Between 1,000 and 2,000 metric tons of rubber were
destroyed in a June 24 blaze at a B. Right Rubber Ltd. warehouse
in Songkha province, a company official said yesterday. The
amount destroyed was too small to support rubber for a second
day, Mutsuki Okubo, a trader at Kanetsu Asset Management Co. in
Tokyo, said today.


Read more at Bloomberg Commodities News

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