China demand fears hurt rubber; Asia's coffee premiums robust
On Monday, traders said that the slowing economic development in the leading rubber consumer, China, would keep Tokyo stocks limited. On the other hand, Asia's demand for robusta would aid premiums remain at multi-month highs.
The high refining margins would draw attention to the sugar market. Thai millers produced more whites to meet the needs before Ramadan. Ramadan was a Muslim-fasting month which would happen in July. Subsequently, the butter ratios would record a four-year peak.
China's official purchasing managers' index plunged down to 50.1 in June from 50.8 in May. This data reinforced fears about moderate growth in the second quarter.
"I can't expect to see much demand from China," an analyst at Yutaka Shoji Co in Tokyo, Gu Jiong, said. Gu Jiong pegged resistance at JPY250 for every kilogram. "But I heard that stocks in Qingdao are decreasing. It can still support the price in this low level."