October-delivery rubber rose as much as 3.7 percent, the biggest gain since Jan. 17, to 279.9 yen a kilogram ($3,535 a metric ton) on the Tokyo Commodity Exchange, before trading at 278.2 yen at 12:21 p.m. The most-active contract tumbled 15 percent in the past two weeks asEurope’s debt crisis escalated.
Asian stocks rose, with the regional index rebounding from its biggest drop in six months, after Premier Wen Jiabao said China will focus more on bolstering growth, indicating policies may be loosened further as inflation moderates.
“China’s focus on boosting growth and Thailand’s price- support policy helped trigger the gains,” said Chaiwat Muenmee, an analyst at Bangkok-based commodity broker DS Futures Co.
German and French leaders meet today in Berlin before a European Union summit on May 23 to map out a revised plan after Greece’s possible exit erased almost $4 trillion from global stock markets this month.
Thailand, the biggest exporter, plans to buy more than 10,000 tons on the Tokyo and Shanghai exchanges and will keep buying from farmers until prices reach appropriate levels, Rubber Estate Organization Managing Director Chanachai Plengsiriwat said May 18.
September-delivery rubber on the Shanghai Futures Exchange gained 2.9 percent to 24,780yuan ($3,918) a ton. Thai rubber on a free-on-board basis added 0.3 percent to 114.80 baht ($3.67) a kilogram on May 18, according to the Rubber Research Institute of Thailand.
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