NEGOTIATOR’S TAKE: Rubber prices are at 6-year lows – a good time to approach suppliers for price decreases.
Rubber has emerged as one of the worst performers amid the slump in global commodities in recent weeks, thanks to a continuing glut of the material used in products from tires to condoms.
Benchmark futures in Tokyo are near their lowest level in six years
While copper is down 15% in the last three months and West Texas Intermediate crude oil has slumped 23%, benchmark rubber futures traded in Tokyo have sunk 27% to ¥167.80 a kilogram, around their lowest level for six years.
Rubber’s lack of bounce highlights how, as demand growth slows in key markets, the most vulnerable commodities are those whose producers have been unable to tame output over recent years . . . . read the rest of this ProPurchaser sourced article, HERE.
Source: The Wall Street Journal, September 2015