KUALA LUMPUR, Feb 17 — The Malaysian rubber market is expected to remain flattish with a slight upside next week due to the onset of the rubber tree wintering.
The Malaysian Rubber Glove Manufacturers Association’s past president Denis Low said while the wintering is setting, some regions are still raining and hampering rubber production.
Additionally, he said the conflicts in the Ukraine and the Middle East have become intense lately and this may cause uncertainty and volatility in many aspects, including in commerce and politics.
“The world’s buying of the commodity will be curtailed to a certain extent because of the escalation of tension brought on by the conflicts,” he said.
Another dealer said the local rubber market rose slightly this week supported by the encouraging electric vehicle industry, a weaker ringgit against the US dollar coupled with gains in crude oil prices amid the absence of Chinese players during the Lunar New Year holidays.
On a weekly basis, the Malaysian Rubber Board’s (MRB) reference price for SMR 20 closed at 728.0 sen per kilogramme (kg) on Friday compared to the previous Friday’s close at 713.0 sen, for an increase of about 2.1 per cent, while latex-in-bulk added about 1.26 per cent higher to close at 685.0 sen per kg from 676.5 sen previously.
At 5 pm on Friday, the MRB reference price for physical rubber SMR 20 stood at 731.5 sen per kg, while latex-in-bulk was 687.0 sen per kg.
— Bernama
