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Rubber Market Ends Higher On Supply Tightness Concerns, Firmer Oil Prices

Kuala lumpur: The Kuala Lumpur rubber market ended higher today, supported by greater expectation of supply tightness, said a dealer.

According to BERNAMA News Agency, rubber output in northern Thailand, Vietnam, and the Ivory Coast has begun to taper off as trees enter a seasonal low-production phase, raising concerns over near-term supply availability.

Higher crude oil prices also lifted market sentiment. Crude oil prices climbed following United States winter storms that disrupted up to 15 percent of national oil production, improving sentiment across commodity markets. At the time of writing, Brent crude oil was up 0.04 percent to US$67.60 a barrel.

However, further gains were capped by a stronger ringgit against the US dollar and weaker US economic data. US consumer confidence fell to its lowest level in more than 11 years, raising concerns over household spending and downstream demand.

At 3 pm, Standard Malaysian Rubber (SMR) 20 rose by nine sen to 753 sen per kilogramme, while latex-in-bulk remained unchanged at 575 sen per kg.