Rubber Market Maintains Upward Trend To Track Regional Gains

By Danni Haizal Danial Donald

KUALA LUMPUR, Sept 24 (Bernama) -- The Kuala Lumpur rubber market remained on an upward trend, closing higher on Thursday, tracking gains in regional rubber futures, said a dealer.

She said supply concerns in Côte d'Ivoire on the southern coast of West Africa and adverse weather risks in Thailand also lifted market sentiment.

“Higher crude oil prices and the extension of the United States-China trade truce also provided support, while gains were capped by weaker global risk sentiment amid rising bond yields and concerns over Japan’s slower economic activity,” she told Bernama.

She said Japanese rubber futures surged on Thursday after the market reopened, driven by a combination of factors, including the impact of El Nino, congestion at Ivory Coast’s Abidjan port, and reduced raw material supplies.

“Thailand’s heavy rainfall outlook raised supply disruption concerns, with heavy to very heavy rain forecast from Sept 23-27 and risks of flash flooding,” she added.

At 3 pm, Standard Malaysian Rubber 20 (SMR 20) rose 29.5 sen to 1,036 sen per kilogramme (kg), while bulk latex increased five sen to 730.5 sen per kg.

-- BERNAMA