RUBBER MARKET ENDS HIGHER ON STEADY OIL PRICES

By Nur Athirah Mohd Shaharuddin

KUALA LUMPUR, Oct 3 (Bernama) -- The Malaysian rubber market closed higher today, influenced by steady benchmark crude oil prices amid ongoing concern over natural rubber (NR) supply shortage due to inclement weather in major producing countries, a dealer said.

The possibility of the United States (US) cutting interest rates further also lifted sentiment, she said.

“Nevertheless, further gains were capped by a mixed trend in the regional rubber futures markets amid the absence of Chinese buyers as traders weigh the impact of the ongoing US government shutdown,” she told Bernama.

The dealer noted that oil prices rose on Friday after a fire broke out at one of the largest refineries on the US West Coast. Nonetheless, she reckoned prices are still on track for their steepest weekly fall since late June.

Thailand's meteorological agency has also warned of heavy rains and accumulations that may cause flash floods and overflows from Oct 6-8, 2025. 

“It was also reported that financial markets are growing increasingly confident that the US Federal Reserve will maintain its rate-cutting path. The markets are almost fully pricing in a 25-basis point rate cut in October,” she said. All this will lift market sentiment.

At 3 pm, the Malaysian Rubber Board reported that the price of Standard Malaysian Rubber 20 (SMR 20) increased seven sen to 731.50 sen per kilogramme (kg), while latex-in-bulk rose 2.5 sen to 570.50 sen per kg.

-- BERNAMA