RUBBER

THE Malaysian rubber market is expected to hover at the current level, amid mixed sentiment surrounding the market.

The rubber market will likely take its cue from the movement of prices on the regional rubber markets, crude oil, as well as the ringgit performance against the US dollar.

He said the regional rubber market, which remained weak coupled with the continuous slide in crude oil prices amid increasing supply concerns, has contributed to bearish sentiment in the market.

“The benchmark Tokyo rubber futures on Friday extended its losses for a fifth straight day after touching a 26month low earlier in the week, amid persistent concerns over slackened demand.

“Oil markets remained weak today as rising supply and concerns of an economic slowdown pressured prices, with US crude declining 20 per cent from its peak in early October,” he said.

The market is also expected to remain cautious on persistent worries of the US-China trade war, causing uncertainty across markets and is negative for rubber prices, he added.