Monitoring data from the business community, the natural rubber in the East China region within 2 months of decline, the market has been in a bottoming process, but there are signs of bottoming out, the latter is expected to stabilize rebound. The spot price high point of 25,600 yuan / ton, down from February 5 to April 8 low of 21,325 yuan / ton, a decrease of 16.70%. April 9, affected by the easing of monetary policy in Japan, the yen sharply devalued, thus promoting the Japanese rubber rose sharply. Although the futures higher, but the general atmosphere of the market inquiry and there is the phenomenon of lower prices, merchants offer generally higher, but the turnover is mainly still single, late prices are expected to continue to raise.
Fundamentals remain long and short interwoven state, rubber spot downstream part of the factory pre-stocking depleted, and prices have been at a low price to begin the amount of procurement, although the overall improvement in demand is not obvious, but many market participants have the market outlook directional expectations. Inventory, an over-supply of natural rubber, Qingdao Free Trade Zone and the previous period stocks reached 46 million tons, continued to show steady growth, natural rubber prices and supply and demand improvement can be achieved with de-stocking needs. Producing areas of suitable climate, the seasonal growth of natural rubber production background destocking process will be long.
The other hand, with the the Hujiao continuous decline, the premium rate on the spot rubber prices reduced by some one thousand to less than 500 yuan, the cash discount Hujiao negative effect will be weakened. Business community on natural rubber Sun Lin, an analyst believes that after the early fall, bad temporarily consume part of the current trend may belong to decline stabilized after finishing. Overall, the short-term downward trend has slowed down, the euro zone temporarily stable and expected interest rate cut, natural rubber is still higher power. Related to listed companies including the Hainan Rubber (601118), Sinochem International (600500).