Market trading is sluggish, rubber futures fluctuate slightly

Yesterday's Tokyo rubber market continued to oscillate slightly driven by the external market, and the price of the far month contract remained in the price range of 170-175 yen throughout the trading day.

Some analysts believe that although Chairman Powell said that the emergency rate cut is one of the countermeasures to the negative impact of the new coronavirus on the economy, some market analysts believe that the recent shortage of US dollar liquidity and the sharp fluctuations in the securities market are the main reasons
for the Fed's decision.
As a result, market expectations for another 25-point rate cut on this month's FOMC have also begun to heat up, and with the follow-up of other central banks, it is likely to trigger global monetary easing
in the short term.

In terms of spot, the February FOB price of No.
3 cigarette tablets on March 5 was around 51.
86 baht, up 0.
41 baht
from the previous session.
The price of the 20-month FOB was around 42.
9 baht, up 0.
81 baht
from the previous session.
The USS spot price was around 42.
79 baht, up 0.
29 baht
from the previous session.

On the technical side, the RSS far month contract received slight support
at the 170 yen line.
In terms of spread structure, the middle May contract still has a certain premium compared to the near far month contract, due to the sluggish market trading, the possibility of short-term spread correction is small, and the near month contract faces further position consolidation, which increases the possibility of the near month premium
.