Rubber rises as oil jumps after Israel launches strikes on Iran
BEIJING: Japanese rubber futures rose on Friday, as Israel's strikes on Iran sent oil prices soaring and Asian markets lower.
The Osaka Exchange (OSE) rubber contract for November delivery was up 0.45% at 292.2 yen per kg.
The rubber contract on the Shanghai Futures Exchange (SHFE) for September delivery rose 0.33% to 13,815 yuan per metric ton.
The most active July butadiene rubber contract on the SHFE climbed 0.94% to 11,315 yuan per metric ton.
The price of Thailand's benchmark export-grade smoked rubber sheet (RSS3) and block rubber was down 0.22% and 0.63% at 76.88 baht and 61.8 baht, respectively.
Japan's Nikkei average futures dipped 1.3% in early trade.
Oil prices jumped nearly 9% on Friday to near multi-month highs after Israel launched strikes against Iran, sparking Iranian retaliation and raising worries about a disruption in Middle East oil supplies.
Japanese rubber futures extend gains
Natural rubber often takes direction from oil prices as it competes for market share with synthetic rubber, which is made from crude oil.
Rubber crops usually undergo a season of low production from February to May, before a peak harvesting period that lasts until September.
The front-month rubber contract on Singapore Exchange's SICOM platform for July delivery was at 161.6 U.S. cents per kg, up 1%.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
2 hours ago
- Express Tribune
Airlines halt many Middle East flights
A Malaysia Airlines plane carrying the first batch of tourists arrives as Langkawi reopens to domestic tourists, amid the coronavirus disease (COVID-19) pandemic, in Malaysia September 16, 2021. PHOTO: REUTERS Global airlines on Friday cancelled flights to Tel Aviv, Tehran and other Middle East destinations, or rerouted planes, as airspaces were shut off following Israeli strikes on Iran. Israel, Iran, Iraq, Jordan and Syria closed their airspaces after Israel hit military and nuclear facilities in Iran. Israel said Tehran launched drones in retaliation. Air India's New Delhi-Vienna and Mumbai-London flights were about to enter Iranian airspace when Israel launched its attack, forcing the planes to turn back to their origin, according to aircraft tracker Flight Aware. Its London-New Delhi flight had just entered Iranian airspace and was rerouted over Iraq before arriving in India one hour late, according to Flight Aware. Air India diverted or called back a total of 16 flights between India and London and cities in Canada and the United States "due to the emerging situation in Iran".
Business Recorder
4 hours ago
- Business Recorder
Gilani distanced himself from over 600pc pay raise
ISLAMABAD: Chairman Senate Yousaf Raza Gilani has distanced himself from over 600 percent raise in his salary, saying he has 'nothing to do' with this development. 'I was not consulted by anyone in this regard. I have nothing to do with my salary raise,' Gilani told the media, when asked about unprecedented raise in his salary, on the sidelines of the Senate session on Friday. Asked whether he was going to 'reverse' this raise by returning the increased salary, Gilani replied, 'get it reversed, it would be a good thing to do.' Federal government as well as the custodians of the two Houses of the Parliament are under massive public criticism following the surfacing of a government notification from last month in which over 600 percent increase in the salaries of the chairman Senate, speaker National Assembly, deputy chairman Senate and deputy speaker NA was notified. Conspicuously, feeling the heat of public criticism, Defence Minister Khawaja Asif joined the public circles in slamming this raise, terming it 'financial vulgarity,' in a recent post on X. Prime Minister Shehbaz Sharif also appeared 'defensive'— with reports suggesting that the PM 'took notice' of the matter, and ordered an inquiry into massive pay raise and other perks for NA speaker and deputy speaker as well as Senate chairman and deputy chairman. 'I respect the defence minister — but I have nothing to do with the pay raise,' Gilani told reporters on Friday. Meanwhile, the chairman Senate presided over the Senate session. The House unanimously passed the Societies Registration (Amendment) Bill, 2025, moved by Law Minister Azam Tarar. The bill deals with the registration of religious seminaries. Last December, Jamiat Ulema-e-Islam Fazal (JUI-F) chief Maulana Fazlur Rehman had announced the plan to launch a protest movement to push the government to enact this legislation. Later, he postponed the planned protest reportedly after the government assured him to resolve the matter. The House also passed a unanimous resolution in condemnation of Israel's attack on Iran. Moved by Deputy Prime Minister Ishaq Dar, the resolution expressed concern over what it described was inaction of Muslim world against genocide of Palestinians, 'which has now led Israel to attack another sovereign Muslim state Iran.' 'The world and Muslim Ummah are witnessing the slaughter of innocent children and civilians in Gaza for the last two years on an unimaginable scale,' said the resolution. The House, through its resolution, said it stands resolute with Iranian brethren and supports their right to defend themselves against Israeli aggression. Earlier, the House commenced discussion on the proposed federal budget in which senators from different political parties participated. The Senate was adjourned till Monday. Copyright Business Recorder, 2025
Business Recorder
5 hours ago
- Business Recorder
Asian currencies slip on risk off after Israel strikes Iran
BENGALURU: Asian stock markets and currencies fell on Friday as investors rushed to safe havens after Israel struck Iran's nuclear and military sites, deepening market jitters already stoked by global trade tensions. Israel said it was declaring a state of emergency in anticipation of a missile and drone strike by Tehran, after what it called a 'preemptive strike' over Iran's nuclear programme. Crude prices surged over 9% on worries about disrupted oil supplies. Rising oil prices typically pressure emerging Asian currencies by widening current account deficits in net oil-importing countries. The South Korean won and the Philippine peso fell 0.8% each. The Indian rupee fell 0.6% while the Indonesian rupiah dropped 0.5%. An index measuring the dollar against six other currencies rose 0.5%, rebounding from a multi-year low hit earlier this week. Israel-Iran tensions are leading to a more cautious tone in markets and in turn weighing on regional currencies, said Alan Lau, FX strategist at Maybank. The development comes ahead of multiple central bank meetings next week such as the Bank of Japan, the Bank of England and the Federal Reserve 'of which the outcomes on net could support a USD rebound,' Lau said. The Thai baht weakened 0.2%. Maybank analysts said in a note that while higher oil prices are weighing on the currency, the uptick in gold prices was providing some support. The Malaysian ringgit lost 0.5%, in line with the broader movement, even as Malaysia stands out as the only net oil and gas exporter among the major emerging Asian economies.
