TOKYO, June 6 (Reuters) -
Japanese rubber futures touched a one-week high on Friday, buoyed by hopes of easing U.S.-China trade tensions, but the contract was set for a modest weekly loss amid signs of weakness in the U.S. economy.
The Osaka Exchange (OSE) rubber contract for November delivery JRUc6, 0#2JRU: climbed 4.9 yen, or 1.68%, to 297.3 yen ($2.1) per kg, as of 0238 GMT, its highest level since May 30.
The contract has lost nearly 1% so far this week.
The rubber contract on the Shanghai Futures Exchange (SHFE) for September delivery SNRv1 rose 215 yuan, or 1.59%, to 13,770 yuan ($1,917) per metric ton.
U.S. President Donald Trump and Chinese leader Xi Jinping confronted weeks of brewing trade tensions and a battle over critical minerals in a rare leader-to-leader call on Thursday that left key issues to further talks.
U.S. nonfarm payrolls report later on Friday, which will draw greater scrutiny after a slew of weaker-than-expected economic data this week, will be in focus.
Japanese household spending unexpectedly fell in April, government data showed on Friday, as consumers tightened their purse strings in the face of higher prices.
Japan has eased its demand for a full repeal of the 25% U.S. auto tariff and is instead proposing a mechanism to reduce the rate based on how much countries contribute to the U.S. auto industry, the Asahi newspaper reported.
The yen JPY=EBS traded at 143.88, against 143.15 yen in late Asia trade on Thursday. USD/
A weaker currency makes yen-denominated assets more affordable to overseas buyers. FRX/
Japan's Nikkei .N225 rose 0.5% on Friday.
Oil prices slipped but were on track for their first weekly gain in three weeks. O/R
The front-month rubber contract on Singapore Exchange's SICOM platform for July delivery STFc1 last traded at 161.9 U.S. cents per kg, up 1.2%.
($1 = 7.1834 Chinese yuan renminbi)
($1 = 143.8500 yen)
(Reporting by Yuka Obayashi; Editing by Rashmi Aich)
((Yuka.Obayashi@thomsonreuters.com; +813-4520-1265;))
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