Rubber Market Ends Lower On RegionalWeakness, Stronger Ringgit

By Abdul Hamid A Rahman

KUALA LUMPUR, Aug 18 (Bernama) -- The Kuala Lumpur rubber market ended lower on Tuesday, influenced by losses in regional rubber futures markets and a stronger ringgit against the US dollar, said a dealer.

He told Bernama that Japanese rubber futures declined on Tuesday, pressured by weaker-than-expected Chinese economic data

“China’s economic momentum weakened in July, with industrial output and retail sales growth slowing to 4.5 per cent and 0.6 per cent respectively, amid weak domestic demand and extreme weather disruptions,” he said.

At 4.23 pm, the local currency appreciated to 4.0550/0590 against the greenback fromMonday’s close of 4.0585/0630.

Nevertheless, he said that further losses were partly cushioned by firmer benchmark crude oil prices amid persistent Middle East tensions, expectations of further Chinese policy support and concerns over potential rubber supply disruptions from El Nino.

At 3 pm, the price of Standard Malaysian Rubber 20 (SMR 20) declined by five sen to914.5 sen per kilogramme (kg) while latex in bulk also decreased by five sen to 685.5per kg.

-- BERNAMA