Tokyo Futures Fall, Oil Plunges On S&P U.S. Warning

Key Tokyo rubber futures fell 2.3 percent in early trade on Tuesday (Apr 19), tracking losses in Shanghai and Singapore after Standard & Poor's warned it may cut the United States credit rating, sending oil prices plunging and lifting the yen.
FUNDAMENTALS
The key Tokyo Commodity Exchange rubber contract for September delivery was down 9.9 yen at 415.1 yen per kg as of 0021 GMT.
The most-active Shanghai rubber contract for September delivery ended 335 yuan lower to finish at 34,960 yuan($5,351.677) per tonnes on Monday (Apr 18).
Oil fell sharply on Monday after ratings agency S&P revised lower its U.S. credit outlook to negative and OPEC ministers said high crude prices could place a major strain on consumer countries' economies.
The euro nursed heavy losses early in Asia on Tuesday (Apr 19) while the yen gained across the board as worries about sovereign debt problems in Europe and the United States prompted investors to unwind carry trades.
(Reuters, April 19, 2011)