TOKYO, Nov 29 (Reuters) - Benchmark Tokyo rubber futures dipped from 1-1/2 year highs on Tuesday, as investors took profit after Shanghai futures pared earlier gains and as weaker metals prices weighed on market sentiment, dealers said.
"The market took a breather after the recent rally and as prices of base metals retreated from the recent highs," said Toshitaka Tazawa, analyst at Fujitomi Co.
The Tokyo Commodity Exchange (TOCOM) rubber contract for May delivery JRUc6 0#2JRU: finished 3.4 yen, or 1.4 percent, lower at 239.9 yen ($2.13) per kg. It hit a high of 245.6 yen, the highest since June 2, 2015, on Monday evening, which is considered part of Tuesday's trade.
The TOCOM futures, which set the tone for tyre rubber prices in Southeast Asia, have surged nearly 60 percent since the end of August, helped by stronger Shanghai futures and a recovery in commodity prices.
The most-active rubber contract on the Shanghai futures exchange for May delivery SNRcv1 fell 35 yuan to finish at 18,740 yuan ($2,718.74) per tonne, pressured by profit-taking.
Industrial metals generally eased on Tuesday, with London copper falling 1 percent, giving up some gains after earlier strong support as the U.S. dollar softened, equities flatlined and political risk resurfaced in Europe. MET/L
"I think the market has come to a near peak though there is still uncertainty over Shanghai's move," Tazawa said.
The front-month rubber contract on Singapore's SICOM exchange for December delivery STFc1 last traded at 171.9 U.S. cents per kg, down 2.9 cent. ($1 = 6.8929 Chinese yuan renminbi) ($1 = 112.4800 yen)