Rubber climbed to a one-week high as a weaker Japanese currency boosted the appeal of yen-based contracts.

Futures for delivery in April on the Tokyo Commodity Exchange gained 0.3 percent to 260.7 yen a kilogram ($2,559 a metric ton), the highest settlement since Nov. 18.

The yen weakened to 101.92 per dollar, the lowest level in almost six months, as demand for the safety of the Japanese currency waned after an accord was struck to set limits on Iran’s nuclear program.

“Rubber was supported by a weaker yen after the Iran nuclear agreement and on gains in equities markets,” Vanessa Tan, an analyst at Phillip Futures Pte said by phone from Singapore.

Rubber for May delivery on the Shanghai Futures Exchange fell 1.3 percent to close at 18,850 yuan ($3,093) a ton.

Thai rubber free-on-board added 0.3 percent to 79.10 baht ($2.47) a kilogram today, according to the Rubber Research Institute of Thailand. Prices were supported by limited supplies as heavy rains and flooding in the country’s southern provinces have disrupted tapping, it said.

Source: http://www.bloomberg.com