Tokyo rubber futures edged lower on Tuesday after reaching a one-week high a day earlier, with investors reluctant to buy further in the absence of bullish news to offset their concerns about global demand. The lack of appetite was partly seasonal ahead of Japan's summer holiday season that begins next week.

The Bank of Japan is expected to keep monetary policy steady at its meeting later this week, but may escalate its warnings over slowing global demand and renewed gains in the yen, signalling its readiness to ease again if the economy's recovery comes under threat.. The BoJ's stance is expected to keep a lid on the yen, lending some support to yen-denominated TOCOM rubber prices.

The benchmark rubber contract on the Tokyo Commodity Exchange for January delivery fell 0.2 yen to settle at 227.2 yen per kg after moving between 226.2 and 228.9 yen. The front-month September rubber contract on Singapore's SICOM exchange was last traded at 273 US cents per kg, down 1.3 cents. On Monday, the contract rose as high as 233.8 yen, the highest since July 30, after a better-than-expected US jobs report late last week prompted a broad rally in commodities.

source by-http://www.brecorder.com/agriculture-a-allied/183/1224846/