RUBBER MARKET ENDS LOWER ON STRONGER RINGGIT, MIXED REGIONAL FUTURES

By Muhammad Fawwaz Thaqif Nor Afandi & Abdul Hamid A Rahman

KUALA LUMPUR, Jan 13 (Bernama) -- The Kuala Lumpur rubber market ended lower on Tuesday, influenced by a stronger ringgit against the US dollar as well as mixed signals from regional rubber futures markets and benchmark crude oil prices, a dealer said.

He said oil prices turned mixed following concerns about supply due to the unrest in Iran and the United States’ (US) threats of 25 per cent tariffs on countries trading with Tehran.

“Market sentiment was dampened by fresh US threats of tariffs on countries trading with Iran amid the ongoing geopolitical tensions,” he told Bernama.

During the morning session, the ringgit rose to 4.0580/0685 against the US dollar from Monday’s close of 4.0605/0660.

According to the dealer, prices were further pressured by China's record export growth, fueled by diversification in shipment destinations that was expected to have slowed in December 2025, with next year’s outlook hinging on manufacturers’ success in expanding into new markets.

“Nevertheless, further losses were capped by China's pledge to boost its economy in 2026 as traders digested a report by the Department of Statistics Malaysia (DOSM) on declining local natural rubber (NR) supply amid the ongoing NR supply shortage concern due to the rainy season,” he added.

At 3 pm, Standard Malaysian Rubber (SMR) 20 fell nine sen to 757.50 sen per kilogramme (kg), while latex-in-bulk declined slightly by one sen to 575 sen per kg.

-- BERNAMA