Rubber prices likely to rise further

Concerns over tight supply due to weather phenomena could keep Malaysian rubber prices steady next week but trading is expected to be lacklustre.

"A factor that could lift prices up is the rainy season in major producing countries that has affected production," a broker said.

Another dealer said rubber prices would continue to rise as strong overseas demand was seen especially from tyre and rubber glove manufacturers from China.

Local rubber prices are also likely to take their cue from the booming regional markets also on supply concerns and strong demand.
"Some interested buyers are waiting to see the Tokyo Commodity Exchange's direction," he said.

On a week-to-week basis, the Malaysian Rubber Board official physical price for tyre-grade SMR 20 rose 13 sen to 1,057.5 sen per kg while latex in bulk dropped 6.5 sen to 746.0 sen per kg.

The unofficial closing price for SMR 20 increased by 8.5 sen to 1,057.0 sen per kg and latex in bulk added 4.5 sen to 746.0 sen per kg.

The market was closed yesterday for Good Friday. -- Bernama