Rubber Report - 7 December 2017 Rubber Report - 7 December 2017 | DZHI - DZH International 
logo

Rubber Report - 7 December 2017

  • i2Matrix
  • 7 December 2017
Chinese warehouse fire sparks natural rubber price rally
 
London – A fire at a major natural rubber (NR) storage facility has contributed to a rally in NR prices on the Shanghai Futures Exchange and other Asian markets.
 
Prices have risen by up to 5%, following a blaze at a rubber warehouse in Huajun Logistics Industrial Park in Qingdao, Shandong in the afternoon of 1 Dec.
 
About a third of the warehouse’s 15,000-square-metre floor area caught fire, said a local government announcement.
 
The flames were extinguished by the next morning and no casualties were reported.
 
According to Chinese news portal STO.net, the warehouse is used for NR futures settlements and can store up to 30,000 tonnes of the product, worth over €50 million (400 million yuan).
 
An analysis by Reuters on 5 Dec, said the storage capacity represents about 11% of rubber inventories monitored by SHFE.
 
Quoting a Nissan Securities manager, the Reuters report said the fire had prompted fresh buying in Shanghai and Tokyo.
 
However, other factor are likely to be contributing to the NR price rise, not least a recent decision by producing countries to curb exports.
 
As ERJ reported, International Tripartite Rubber Council (ITRC) members Thailand, Indonesia and Malaysia cut NR exports as of 1 Dec in a bid to counter low prices.
 
The start of the wintering season, heavy rains in NR producing countries and a weakening yen are also contributing to higher selling prices.
 
-- ERJ
 
 
For more Rubber and Crude Palm Oil reports that includes twice daily prices & other news reports, you can purchase the subscription here.
 
 
 

THE PEOPLE

Benny Lee

Founder of i2Matrix. A market strategist, private trader and sought-after financial speaker and trainer in the Asian Region, Benny Lee has coached hundreds of professional and retails traders and investors in Malaysia, Singapore, Hong Kong, Thailand, Vietnam, Pakistan for more than 13 years. His passion in trading and chart analysis leads him to develop trading strategies that have helped him and many others to trade and invest successfully in the financial markets.

Benny Lee is recognized by the Malaysian and Singapore Stock Exchange as a Credible Trainer. He has also trained professionals in Malaysia under Securities Commission’s Continuous Professional Education (CPE) Program. He is also a market strategist Jupiter Securities Sdn Bhd, a Malaysian stock-broking firm.

Benny has been invited to share his expert opinion in major commodities and financial events in Malaysia, Singapore, India, Indonesia, Vietnam, Thailand, and Romania. His analysis on the financial markets can also be found on a regular basis in leading financial magazines like Smart Investor, Shares Investment Magazine and The Edge Daily in Malaysia, and Pulses Magazine in Singapore. He has also appeared on TV Financial Programs such as Capital TV (Malaysia), Channel News Asia (Singapore) and Sunbiz (Pakistan) to share his views about the markets and technical analysis.

Today, you can find his market comments regularly on The Financial Edge Daily (Wednesdays), Interview on BFM89.9 (www.bfm.my) business radio station on Mondays at 9.00 am, The Busy Weekly, a Chinese business weekly and Palm Oil Fortune (A monthly magazine by the Malaysian Palm Oil Council, MPOC). His views are also regularly quoted on Bloomberg.

For more information, you can visit them at http://www.i2matrix.com

 

 

Benny Lee's interview with Bloomberg Malaysia