Malaysia: Tight supply to support rubber prices next week
Malaysian rubber prices are likely to be higher next week on concerns over tight supply, dealers said.
A dealer said although the local market would take the cue from regional bearish futures markets, due to falling oil prices, limited supply would support prices.
“Falling supply in major producing countries should support prices,” he said.
For the week just-ended, the Malaysian rubber prices moved in tandem with the Tokyo Commodity Exchange and Shanghai rubber futures exchange.
On a weekly basis, the Malaysian Rubber Board’s official physical price for tyre-grade SMR 20 ended the week two sen lower at 1,115.50 sen per kg while latex-in-bulk gained 15 sen to 778 sen per kg.
The unofficial closing price for tyre-grade SMR 20 eased 5.5 sen to 1,112 sen per kg on Friday while latex-in-bulk rose 13.5 sen to 778 sen per kg.
