Rubber Market Ends Lower On Weaker Regional Futures

By Fatin Umairah Abdul Hamid

KUALA LUMPUR, Aug 3 (Bernama) -- The Kuala Lumpur rubber market ended lower on Monday, tracking weaker regional rubber futures amid a sharp decline in crude oil prices and expectations of higher global natural rubber production, a dealer said.

She said market sentiment was further weighed down by slower manufacturing growth in China, reinforcing concerns over weakening industrial demand.

“China’s manufacturing activity slowed to a four-month low in July, signalling weaker industrial demand and a moderation in economic growth,” she told Bernama.

However, she said losses were partially cushioned by optimism surrounding renewed US-Iran negotiations, continued resilience in global automotive demand, particularly in the electric vehicle (EV) segment, and a slightly weaker ringgit against the US dollar.

Chinese electric vehicle maker BYD's global vehicle sales rose 21.8 per cent year-on-year in July, marking the third consecutive month of growth, supported by strong export demand despite softer conditions in China's domestic market.

At 3 pm, the price of Standard Malaysian Rubber 20 (SMR 20) declined by 13 sen to 879 sen per kilogramme (kg), while latex in bulk dropped by one sen to 694.5 sen per kg.

-- BERNAMA