MARKET COMMENTARY
Sentiments stayed feeble in the major overseas natural rubber market. TOCOM rubber futures bounced up from the four month low while SHFE rubber futures are seen stretching losses on Wednesday. November rubber futures on TOCOM had hit a fresh four month low earlier today before paring losses. However, weaker oil prices and caution prior to key central bank meetings of Japan and the US weighed on overall market sentiments.
NMCE rubber futures stretched losses, while quotes for RSS4 in the physical market dipped on Tuesday. Declines in the major overseas natural rubber market influenced the sentiments in the local market.
MARKET NEWS
According to the Rubber Board, natural rubber production in India declined 2.5 per cent on year-on-year basis in April to 39000 tonnes.
Malaysian government announces RM500 cash aid for rubber smallholders and rubber tappers.
The Rubber Board has started a Call Centre at its Head Office to work as a centralized contact centre for receiving to telephone calls from the public seeking information about the services of the Board and also technical advice regarding cultivation, production, processing etc. of rubber.
Rubber imports by China declined six per cent in May to 470000 tonnes compared to a month earlier.
Global natural rubber output could rise just 0.3 percent in 2016 from a year ago as drop in yields are seen offsetting expansion in the tapping area, the Association of Natural Rubber Producing Countries (ANRPC) said in a statement. Production from the ANRPC members, which together account for about 92 percent of global output, could rise to 11.07 million tonnes in 2016 from 11.04 million tonnes a year ago, Sheela Thomas, secretary-general of the ANRPC said.
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Geofin Comtrade
