Rubber market ma continue uptrend this week

KUALA LUMPUR: The Malaysia rubber market is expected to continue its uptrend this week as tight supplies globally and the on-going wet weather continue to weigh on prices.

Tyre-grade SMR 20 is expected to touch 1,450.0 sen per kg this week, a dealer said, adding that the undertone of the market was still intact.

“The fundamentals are very strong due to the wet weather in rubber producing countries like Malaysia, Indonesia and Thailand,” said a dealer.

He said the strong fundamentals are likely to continue until the first quarter of next year as supplies continue to be in short supply.

Malaysian rubber prices ended the week higher with the unofficial SMR 20 hitting an all-time high of 1,440.5 sen per kg, up 48 sen from 1,392.5 sen per kg last Friday.

Latex-in-bulk increased 24.5 sen to 962.0 sen per kg from 937.5 sen per kg previously.

The Malaysian Rubber Board official physical price for tyre grade SMR 20 jumped 44.5 sen higher at 1,432.5 sen per kg, from 1,388.0 sen per kg, last

Friday while latex-in-bulk rose 26.5 sen to 959.5 sen per kg from 933.0 sen per kg previously. - Bernama

(Source: http://biz.thestar.com.my/news/story.asp?file=/2010/12/20/business/7651355&sec=business)