KUALA LUMPUR – The Malaysian rubber market is expected to remain volatile next week due to uncertainties on the supply side amid worries over the monsoon season weather.
The Malaysian Rubber Glove Manufacturers Association’s immediate past president Denis Low said the rainy season is looming and rubber-tapping activities may be curtailed to a certain extent.
“We believe that stocking activities will take place and the demand and prices may hold firm to slightly higher,” he said.
A dealer said prices are expected to be supported by tighter supply following unfavourable weather and worries over the new Covid-19 variant in South Africa.
“Market players will also be monitoring the upcoming release of key economic data and the outcome of the Organisation of the Petroleum Exporting Countries and its allies’ (Opec+) ministerial meeting,” she said.
For the week just ended, the market closed mostly higher as it tracked the regional rubber futures markets and the weaker ringgit.
On a weekly basis, the Malaysian Rubber Board’s (MRB) price for Standard Malaysian Rubber 20 (SMR 20) gained 16.5 sen to 747 sen per kg while latex-in-bulk rose 36 sen to 588 sen per kg.
At 5pm on Friday, the MRB’s closing price for SMR 20 stood at 738.5 sen a kg while latex-in-bulk was at 588 sen a kg. – Bernama, November 27, 2021
