Rubber traded near an 11-week high before data that may show growth in Chinese industrial production held above 10 percent, adding to speculation demand from the world’s largest consumer will pick up.

Futures for delivery in May on the Tokyo Commodity Exchange traded little changed at 281 yen a kilogram ($2,720 a metric ton) at 10:23 a.m. after rising 0.5 percent and dropping 0.2 percent. The most-active contract settled at 281.1 yen yesterday, the highest level since Sept. 20.

China will release factory output and retail sales today after data from the General Administration of Customs in Beijing showed the nation’s natural-rubber imports jumped to a record. China’s economic growth may accelerate to 7.8 percent in 2014 from 7.7 percent this year, Shanghai Securities News reported, citing a forecast from the National Academy of Economic Strategy under the Chinese Academy of Social Sciences.

“China raised rubber purchases to replenish stockpiles, giving support to futures,” said Hideshi Matsunaga, an analyst at broker Evolution Japan Co. in Tokyo.

China’s imports of natural rubber rose to 270,000 tons last month, data showed Dec. 8. That’s 42 percent higher from October and up 25 percent from the same period last year. Purchases in the first 11 months climbed 8.2 percent to 2.13 million tons.

The contract for May delivery on the Shanghai Futures Exchange was little changed at 19,825 yuan ($3,265) a ton. Thai rubber free-on-board added 0.6 percent to 82.45 baht ($2.57) a kilogram yesterday, according to the Rubber Research Institute of Thailand. Thai markets are closed today for a holiday.

Source: http://www.bloomberg.com