China's economy finished 2009 with a flourish, as a 10.7 percent annual increase in fourth-quarter GDP took full-year growth to 8.7 percent, easily surpassing Beijing's 8 percent target. Cash rubber prices slipped on Thursday as buyers stayed away with tyre grades hovering near their highest level in more than half a century.
Indonesia's SIR20 was traded late on Wednesday at 141 to 143 US cents/lb for February-April delivery, SMR20 changed hands at $3.15 a kg and RSS3 was sold to a major tyre maker at $3.18 a kg, said dealers. Thailand could export 2.8 million tonnes of rubber in 2010, up only slightly from 2009 because supply is unlikely to rise significantly, the head of the Thai Rubber Association, Luckchai Kittipol, said on Thursday.
The benchmark Thai rubber price recently hit its highest in over half a century and prices should remain strong this year as demand would rise with the recovery in the global economy, Kittipol said.
Oil was steady near $78 on Thursday after strong Chinese growth data offset bearish sentiment following a World Bank outlook highlighting risks that the global economic recovery may run out of steam. The US dollar rose 0.4 percent to 91.58 yen following Tuesday's bullish reversal from support in the 90.35 yen area. Still, traders say, a break above 92.00/05 is necessary to improve its tone.