Rubber Market Ends Lower On Weaker Oil Prices
By Nur Athirah Mohd Shaharuddin
KUALA LUMPUR, Sept 11 (Bernama) -- The Malaysian rubber market ended lower today, pressured by falling oil prices amid a mixed performance in regional rubber futures markets, a dealer said.
She said market sentiment was further dampened by a supply boost following the launch of a zero-tariff pilot trade programme between China and Thailand.
“However, losses were capped by growing expectations of interest rate cuts in the United States (US) and additional stimulus measures from the Chinese government,” the dealer told Bernama.
She said oil prices retreated slightly today amid concerns about softening US demand and oversupply risks, but losses were limited by worries over the ongoing geopolitical crises in Qatar and Ukraine.
Citing the Chinese information portal Carbon Black Industry Network, she said the zero-tariff pilot, covering 400 tonnes of rubber, is expected to reduce trade costs and enhance supply chain efficiency.
As at 3 pm, the Malaysian Rubber Board reported that the price of Standard Malaysian Rubber (SMR) 20 fell by 7.5 sen to 738.0 sen per kilogramme (kg), while latex-in-bulk eased by one sen to 576.0 sen per kg.
-- BERNAMA