RUBBER-Japan futures extend losses on firmer yen, US tariff jitters

Updates market at close

SINGAPORE, Feb 26 (Reuters) -

• Japanese rubber futures closed lower for a third consecutive session on Wednesday, pressured by a stronger yen, while fears of potential U.S. tariffs on automobiles also weighed on the tire-making material.

• The Osaka Exchange (OSE) rubber contract for August delivery JRUc6, 0#2JRU: ended daytime trade 7 yen lower, or 1.9%, at 361 yen ($2.42) per kg.

• Earlier in the session, prices fell to 359.2 yen, their lowest point since January 9.

• The rubber contract on the Shanghai Futures Exchange (SHFE) for May delivery SNRv1 fell 295 yuan, or 1.65%, to 17,600 yuan ($2,424.74) per metric ton.

• The most active February butadiene rubber contract on the SHFE SHBRv1 edged up 95 yuan, or 0.69%, to 13,810 yuan ($1,902.60) per metric ton.

• The U.S. currency gained 0.3% to 149.41 yen JPY=EBS in early Asian trade.

• A stronger currency makes yen-denominated assets less affordable to overseas buyers. FRX/

• In the vehicle market, Japan's automobile industry association urged the government on Tuesday to try to shield Japanese automakers from possible U.S. tariffs.

• Last week, U.S. President Donald Trump said he would impose tariffs of 25% on auto imports.

• European car sales dropped in January, industry data showed on Tuesday, dampening market sentiment and causing Tesla TSLA.O stocks to tumble.

• Automobile sales could influence the intensity of automobile manufacturing, which involves using rubber-made tyres.

• Still, the outlook for supply is tightening as natural rubber is in a low production period, Chinese financial data provider Tonghuashun Information said in a note.

• From February 26-March 4, there will be isolated thundershowers in the South, Thailand's meteorological agency said on its website, adding that farmers should be wary of possible crop damage.

• The front-month rubber contract on Singapore Exchange's SICOM platform for March delivery STFc1 last traded at 200 U.S. cents per kg, down 1.3%.

($1 = 149.3700 yen)

($1 = 7.2585 Chinese yuan)