Kuala lumpur: The Kuala Lumpur rubber market is projected to trade slightly lower next week due to ample supply, a balanced supply and demand, and limited speculative buying, despite ongoing geopolitical tensions and rising oil prices.

According to BERNAMA News Agency, industry expert Denis Low stated that the market is likely to remain resilient even as the US-Iran war enters its 150th day next week, with crude oil prices rebounding to about US$95 per barrel, heightening uncertainty across global commodity markets. Low noted that while higher oil prices are expected to raise logistics costs, the impact on the rubber market is likely to be limited.

Denis Low mentioned that reports of unusual weather phenomena, which brought on heavy rainfalls, now seem manageable too. This has resulted in conducive rubber productivity, potentially leading to ample supply in the weeks ahead. On the demand side, there is not expected to be much speculative buying except for the normal replenishment exercise. The market is anticipated to have a quiet week with supply and demand equalising each other with a tendency for prices to stay slightly lower.

The Thai Meteorological Department has forecast isolated heavy rain across Thailand, while Malaysia is expected to experience thunderstorms, heavy rain, and strong winds in several states across Peninsular Malaysia and Sabah.

On a Friday-to-Friday basis, the Malaysian Rubber Board's reference price for Standard Malaysian Rubber 20 (SMR 20) rose five sen to 892.0 sen per kilogramme, while latex in bulk fell four sen to 718.0 sen per kilogramme.