Rubber traded near an eight-month high on optimism that China, the biggest buyer, will increase inventories ahead of holidays and as crude oil prices climbed.
Rubber for delivery in June gained as much as 0.9% to 306.4 yen a kilogramme (US$3,497 a metric tonne) on the Tokyo Commodity Exchange before trading little changed at 304 yen at 12.46pm. The contract rose to 313.7 yen on Tuesday, the highest level since May 7.
Oil traded near a four-month high in New York before a government report that may show refinery utilisation rose and stockpiles increased in the United States Natural-rubber inventories gained 1,770 tonnes to 97,697 tonnes, the highest since March 2010, the Shanghai Futures Exchange said on Jan 4.
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