Rubber Market To Trade With Lower Bias Next Week

By Fatin Umairah Abdul Hamid

KUALA LUMPUR, May 23 (Bernama) -- The rubber market is expected to trade with a lower bias next week, driven by fresh rubber supply following the end of the wintering period, said industry expert Denis Low.

Low said there is incessant rainfall, but not too severe to affect tapping.

“There is an abundance of supply tapping into the current higher prices and sustained by speculative activities of processors and traders.

“The market is pushing back, and they ought to be cautious. There is also an ample supply of synthetic rubber,” he told Bernama.

Echoing Low, Malaysian Rubber Glove Manufacturers Association (MARGMA) said the market is projected to trade range-bound. The monsoon season is expected to ease, which should improve raw rubber supply.

On a Friday-to-Friday basis, the Malaysian Rubber Board’s reference price for Standard Malaysian Rubber 20 (SMR 20) rose 9.5 sen to 889 sen per kilogramme (kg), while latex-in-bulk decreased 10.5 sen to 765 sen per kg.

-- BERNAMA