Rubber Market Ends Lower On Mixed Regional Cues

By K. Naveen Prabu

KUALA LUMPUR, July 1 (Bernama) -- The Malaysian rubber market ended lower today, tracking mixed cues from the regional rubber futures markets amid a stronger ringgit against the United States (US) dollar, a dealer said. 

He said the market sentiment was also dented by a sluggish economic outlook due to weak global manufacturing activity and US tariff uncertainties.

“It was reported that factory activities in many Asian economies declined in June as the US tariff uncertainty kept demand low, but signs of modest relief for manufacturers have raised the stakes in trade talks with Washington amid the region's gloomy economic recovery prospects,” he said. 

He added that further losses were capped by concerns for natural rubber supply shortage owing to bad weather in major producer Thailand. 

“Thailand’s meteorological agency has warned of heavy rainfall and accumulation from June 30 to July 6,” he said. 

At 3 pm, the Malaysian Rubber Board (MRB) reported that the price of Standard Malaysian Rubber 20 (SMR 20) fell by 3.0 sen to 703.00 sen per kilogramme (kg), while latex in bulk declined by 2.0 sen to 582.50 sen per kg.

-- BERNAMA