The Malaysian rubber market is likely to trend higher next week as a weaker ringgit versus the US dollar will make the commodity more attractive to foreign buyers, a dealer said.
He said the lower currency had made the commodity more appealing and created renewed demand from buyers.
“In addition, the rubber market also depends on the movement of crude oil prices.
“If crude oil prices were to continue improving next week, this will certainly lend a support to the rubber prices as well,” he added.
Meanwhile, the local market will be closed on Monday in lieu of the New Year holiday which falls on Sunday.
For the week just-ended, trading was mixed mainly dampened by the volatility in other commodities prices such as crude oil and soybean, as well as the weaker ringgit.
On a Friday-to-Friday basis, the Malaysian Rubber Board’s noon price for SMR 20 added 7.5 sen to 871.0 sen a kg and latex-in-bulk rose 1.5 sen to 645.5 sen a kg.
The 5 pm unofficial closing price for SMR 20 gained 12 sen to 884 sen a kg, while latex-in-bulk increased 0.5 sen to 645.0 sen a kg.– Bernama