Kuala lumpur: The Kuala Lumpur rubber market ended higher on Monday, driven by gains in regional rubber futures markets and a strengthened El Ni±o outlook, a dealer reported. According to BERNAMA News Agency, Japanese rubber futures saw an increase due to concerns over supply disruptions linked to a stronger El Ni±o forecast.

The US National Oceanic and Atmospheric Administration (NOAA) projected a 69 percent likelihood of a historically strong El Ni±o during October-December 2026. This forecast has raised apprehensions about potential weather-related supply disruptions.

However, the rise in market prices was tempered by weaker Chinese economic data and increasing rubber inventories in China, which suggest a decline in near-term demand. Rubber inventories tracked by the Shanghai Futures Exchange grew by 0.9 percent from the previous week, indicating higher stock levels.

Additionally, a slightly stronger ringgit against the US dollar and reduced crude oil prices limited further market gains. By 3 pm, the price of Standard Malaysian Rubber 20 (SMR 20) had increased by 10.5 sen to 919.5 sen per kilogram, while latex in bulk went up by two sen to 690.5 sen per kilogram.