RUBBER-Tokyo futures rise on weaker yen

Reuters

TOKYO, Sept 5 (Reuters) - Benchmark Tokyo rubber futuresclosed up 0.8 percent on Thursday, on support from a weaker yenand hopes of global economic recovery.

The benchmark rubber contract on the Tokyo CommodityExchange (TOCOM) for February delivery rose 2.2 yen tosettle at 283.6 yen ($2.85) per kg.

The contract hit 287.9 yen during trade on Wednesday, itshighest level since May 23, driven up by a weaker yen. Thecontract is currently up 5.4 percent for the week.

"With funds increasing their long positions, the losses inthe morning had been limited, until the market got support froma weak yen in the afternoon," a Tokyo-based broker said.

The market also awaited U.S. labor market data, with the ADPprivate-sector jobs number due out Thursday and the governmentemployment report on Friday, the broker added. The data willlikely help determine whether the Federal Reserve will startreducing its stimulus at its Sept. 17-18 meeting.

The yen was stuck near a one-month low against the dollar,after investors unwound their safe-haven buying, spurred byconcerns over U.S. plans to attack Syria.

The Bank of Japan kept monetary policy steady on Thursdayand revised up its assessment of the economy, encouraged bygrowing signs the benefits of its stimulus policy arebroadening.

The most-active rubber contract on the Shanghai futuresexchange for January delivery rose 65 yuan to finish at20,795 yuan ($3,400) per tonne.

The front-month rubber contract on Singapore's SICOMexchange for October delivery last traded at 249.80 U.S.cents per kg, up 1.0 cent.($1 = 99.5350 Japanese yen)($1 = 6.1201 Chinese yuan) (Reporting by Osamu Tsukimori; Editing by Sunil Nair)

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