Rubber Market Extends Gains For Third Straight Day

By Danni Haizal Danial Donald

KUALA LUMPUR, Sept 23 (Bernama) -- The Kuala Lumpur rubber market extended gains for a third consecutive day on Wednesday, supported by firmer regional rubber futures, optimism over US-China and US-Iran talks, and tighter supply due to adverse weather, a dealer said.

The dealer said sentiment was also lifted by encouraging Chinese policy measures for the automobile industry and ongoing weather-related supply tightness.

“Nevertheless, further gains were capped by the stronger ringgit against the US dollar, coupled with rising expectations of tighter US monetary policy,” she told Bernama.

Quoting President Donald Trump, she said US officials had held a “very good” and productive three-hour meeting with Iranian representatives in New York, raising hopes that negotiations could eventually help end the conflict in West Asia and ease disruptions around the Strait of Hormuz.

“Additionally, US and Chinese officials have offered upbeat assessments of preparatory talks, including discussions on artificial intelligence safety and trade, ahead of President Xi Jinping’s visit to the US on Sept 23-25,” she added.

At 3 pm, Standard Malaysian Rubber 20 (SMR 20) rose 14.5 sen to 1,006.5 sen per kilogramme (kg), while bulk latex increased five sen to 725.5 sen per kg.

-- BERNAMA