SMR 20 Ends Lower Amid Mixed Market Sentiments

By Nur Athirah Mohd Shaharuddin

KUALA LUMPUR, Jan 24 (Bernama) -- The local rubber market closed with SMR 20 prices falling as growing expectations for further Chinese stimulus measures were offset by declining benchmark crude oil prices.

A dealer said it was reported that China would unveil more steps to boost consumption this year, including efforts to upgrade consumption and expand customer trade-ins after its stimulus scheme for consumer goods trade-ins boosted last year’s consumption growth by more than 1.0 per cent.

Speaking to Bernama, she said sentiment towards China was also lifted by reports of US President Donald Trump floating the idea of a potential China-US trade deal, just days after he threatened to impose 10 per cent tariffs on Chinese goods by Feb 1, 2025.

However, she said oil prices fell on Friday and were headed for a weekly decline as Trump called for lower crude prices and higher energy production in the US.

“Japanese rubber futures were flat today as potential trade tensions between the US and top consumer China outweighed fears of lower supply from Thailand due to wet weather,” she added.

The Malaysian Rubber Board reported that at 3 pm, the price of SMR 20 decreased by 8.50 sen to 891 sen per kilogramme (kg), while latex in bulk rose by three sen to 681 sen per kg.

-- BERNAMA