On the 31st, the most-active Dubai crude futures contract on the Tokyo Commodity Exchange rose by more than ¥2,000 from the previous Friday's close. The resumption of an exchange of attacks between the United States and Iran heightened concerns over the situation in the Middle East, while buying was supported by the rise in New York crude and the yen's weakening against the dollar in the foreign exchange market.
On the 31st, the most-active Dubai crude futures contract on the Tokyo Commodity Exchange rose by more than ¥2,000 from the previous Friday's close, leading the overall market higher, also against the backdrop of rising New York crude futures. Market participants said concerns over the situation in the Middle East had intensified following the resumption of an exchange of attacks between the United States and Iran, and reported views that investors had entered the market to buy.
During daytime trading, only the January 2027 contract of the most-active month was traded, and volume was in the double digits, indicating thin trading. Market participants said the market was affected by a lack of participants during Asian hours and tended to see crude oil prices fluctuate depending on news headlines.
There were also views that the yen's move toward weakness against the dollar in the foreign exchange market, against the backdrop of expectations of interest-rate hikes by the Federal Reserve Board (FRB), helped push prices higher. Some market participants said trading was dominated by small-lot buying and that the market moved within a limited range of transactions.
Overall, views emerged that thin trading volumes during Asian hours and reactions to news headlines would remain factors behind crude oil price volatility in the short term.