Rubber Market Ends Mixed Amid Supply Concerns, Trade Uncertainty
KUALA LUMPUR, July 4 (Bernama) -- The Malaysian rubber market ended mixed today amid concerns over natural rubber shortages due to inclement weather in major producing countries, with gains capped by falling oil prices and global trade uncertainty, a dealer said.
The dealer said Thailand, the world’s leading rubber producer, has been warned of heavy rainfall and possible flash floods from July 3 to 6, according to the country’s meteorological agency. “The accumulation of rainfall raises concerns over potential supply disruptions in key rubber-growing regions,” she told Bernama.
The dealer said market sentiment was further supported by positive US economic data. “The US registered solid job growth last month, with nonfarm payrolls increasing by 147,000 in June following an upwardly revised gain of 144,000 in May, according to the US Labor Department’s Bureau of Labor Statistics,” she noted.
Nevertheless, further gains were capped by declining crude oil prices amid global economic uncertainties as the US trade deal deadline with its trading partners around the world approaches. “Oil prices fell slightly in Asian trade on Friday as focus remained on the upcoming OPEC+ meeting for production cues, while further losses were limited by additional US sanctions on Iran,” she added.
At 3 pm, the Malaysian Rubber Board (MRB) reported that the price of Standard Malaysian Rubber 20 (SMR 20) rose by 6.5 sen to 711.00 sen per kilogramme (kg), while latex in bulk fell by 4.5 sen to 571.50 sen per kg.
-- BERNAMA