Kuala lumpur: The Kuala Lumpur rubber market ended lower on Wednesday as improving raw material supply in Thailand weighed on market sentiment, a dealer said. She noted that favourable weather and abundant early-season rainfall in Thailand had boosted raw material output, increasing supply expectations and putting downward pressure on prices.

According to BERNAMA News Agency, market sentiment was further pressured by the Shanghai International Energy Exchange's (INE) announcement of a 400 yuan-per-tonne delivery discount for Indonesian TSR 20 futures. The INE's move, effective November 2, 2026, is expected to potentially increase the competitiveness of Indonesian supplies, thereby exerting additional pressure on regional prices.

The dealer highlighted that further losses were partially cushioned by stronger crude oil prices. Crude oil prices rose on Wednesday following joint strikes by the United States and Saudi Arabia on Iran-backed militias in Iraq, alongside the interception of Iran's ballistic missiles aimed at US forces in West Asia. Additionally, a decrease in US crude inventories contributed to the recovery in crude oil prices, reflecting continued concerns over global supply security and supporting investor interest across the broader commodities sector.

At 3 pm, the price of Standard Malaysian Rubber 20 (SMR 20) declined by 22.50 sen to 875 sen per kilogram, while latex in bulk dropped five sen to 701.50 sen per kilogram.