Malaysian Rubber Market Ends Higher On Supply Concerns

By Nur Athirah Mohd Shaharuddin & Engku Shariful Azni Engku Ab Latif

KUALA LUMPUR, Aug 28 (Bernama) -- The Malaysian rubber market closed higher on Thursday, driven by concerns over supply shortages of natural rubber caused by rainy weather in major producing countries, said a dealer.

Market sentiment was also boosted by an uptick in global auto sales.

“However, further gains were capped by weaker advice from regional rubber futures markets as traders await further cues on the United States (US) monetary policy path,” he told Bernama.

The dealer also said that Thailand's meteorological agency has warned of heavy rains and possible flash floods in its forecast from Aug 27 to Sept 2, raising concerns over possible disruptions to regional rubber supply.

At 3 pm, the Malaysian Rubber Board reported that the price of Standard Malaysian Rubber (SMR) 20 rose 7.5 sen to 753 sen per kilogramme (kg), while latex in bulk inched up 1.5 sen to 572.5 sen per kg.

-- BERNAMA