KUALA LUMPUR: The Malaysian rubber market closed higher despite the ringgit’s gain against the US dollar today, amid the stronger performance of regional rubber futures markets and recovery in crude oil prices.
A dealer said market players took their cue from easing trade tensions and the current tight supply.
“The sentiment was also aided by China’s measures to encourage car sales,” he added.
The Tokyo Commodity Exchange rubber futures rose on Friday amid optimism that the United States is considering a delay in imposing tariffs on Mexican imports, increased foreign fund purchase, and a rally in Shanghai rubber futures and physical prices in Thailand due to tight supply.
The local market traded for half a day on Tuesday. It was closed on Wednesday and Thursday for Hari Raya Aidilfitri celebration.
At 12pm, the Malaysian Rubber Board’s official physical price for tyre-grade SMR 20 jumped 16 sen to 643.5 sen per kg while latex-in-bulk increased 7.5 sen to 502.5 sen per kg.
The unofficial closing prices for tyre-grade SMR 20 and latex-in-bulk were unchanged at 642.0 sen per kg and 503.5 sen per kg, respectively.