The Malaysian rubber market closed lower today on the strengthening of the ringgit and lack of demand from the major
consumer China, dealers said.
“The Chinese demand dwindles due to negative sentiment brought by a report on the signs of weakness in China’s manufacturing sector,” she said.
The HSBC Purchasing Managers’ Index, weighed down by weaker domestic and export demand, fell to 49.6 in January from December’s final reading of 50.5.
It was also reported that Chinese investors had started to pull out of the market ahead of the Lunar New Year holidays, which would begin late next week.
At noon, the Malaysian Rubber Board’s official physical price for
tyre-grade SMR 20 fell 5.5 sen to 702.50 sen a kg and latex-in-bulk eased two sen to 482.50 sen a kg.
The unofficial closing price for tyre-grade SMR 20 fell 10.5 sen to 695.50 sen a kg, while latex-in-bulk dropped 3.5 sen to 480.50 sen a kg.– Bernama