Kuala lumpur: The Kuala Lumpur rubber market is anticipated to trade lower next week, influenced by decreasing crude oil prices and improved supply conditions, as stated by industry expert Denis Low. Low noted that rubber production had returned to normal, with output expected to increase, leading to a more comfortable supply situation.

According to BERNAMA News Agency, Low mentioned that the decline in crude oil prices could help ease cost pressures in the short term, despite the Strait of Hormuz remaining closed. "A better harvest, combined with lower oil prices, will surely bring down rubber prices. Demand remains stable, but rubber stocks are now plentiful," he explained.

At the time of writing, Brent crude futures, the global oil benchmark, had fallen 3.6 percent to US$72.55 per barrel. On the weather front, Low highlighted that Thailand's Meteorological Department had forecast thundershowers and isolated heavy rain across the country. In Malaysia, the Meteorological Department advised the public to remain alert to changing weather conditions and prepare for the possibility of a Super El Nino at the end of this year.

Meanwhile, the Malaysian Rubber Glove Manufacturers Association (MARGMA) reported that the latest data from the Association of Natural Rubber Producing Countries (ANRPC) projected global natural rubber production to rise 2.4 percent in 2026, reinforcing expectations of a comfortable supply outlook. However, it noted that prices could remain supported by demand from the automotive sector, which continued to show positive momentum.

On a Friday-to-Friday basis, the Malaysian Rubber Board's reference price for Standard Malaysian Rubber 20 (SMR 20) fell 65.5 sen to 880.5 sen per kilogramme, while latex-in-bulk declined 25 sen to 769.5 sen per kg.