Kuala lumpur: The Kuala Lumpur rubber market is expected to trade quietly next week, with demand likely to be supported mainly by replenishment buying amid weather-related supply uncertainties.

According to BERNAMA News Agency, industry expert Denis Low highlighted that heavy rainfall in several rubber-producing regions is unusual for this time of year, when conditions are typically hot and dry. This unpredictability is linked to changes in weather patterns associated with climate change. Low noted that despite the sporadic rainfall, other factors point to favorable conditions for rubber production, which could result in a steady market.

Denis Low further explained that the rubber market is anticipated to remain quiet, with demand primarily driven by replenishment buying. Prices and demand are expected to remain sluggish, with a slight downside bias. Market participants will continue to monitor various external factors, such as the global economy, international trade, geopolitical developments, crude oil prices, and the US dollar, which could influence commodity prices.

Meanwhile, the Malaysian Rubber Glove Manufacturers Association (MARGMA) has projected that the rubber market will remain range-bound next week. This outlook is supported by improving natural rubber production during the peak tapping season in major producing countries. However, MARGMA warned of potential fresh supply chain disruptions involving key petrochemical-based raw materials used by the industry.

Additionally, renewed US strikes on Iran pose risks to West Asia's oil supplies, affecting market sentiment. On a Friday-to-Friday basis, the Malaysian Rubber Board's reference price for Standard Malaysian Rubber 20 (SMR 20) increased by 4.5 sen to 887 sen per kilogramme, while latex in bulk decreased by 7.5 sen to 722 sen per kilogramme.