Kuala Lumpur: The Kuala Lumpur rubber market concluded on a positive note on Wednesday, aligning with the upward trend in regional rubber futures markets and a weaker ringgit against the US dollar, a dealer reported. At the time of writing, the local currency depreciated to 4.2470/2550 against the greenback compared to the previous day’s close of 4.2390/2475.

According to BERNAMA News Agency, the positive market sentiment was fueled by concerns over the supply of natural rubber and China’s strategic efforts to develop financial systems that operate independently from Western institutions. People’s Bank of China Governor Pan Gongsheng announced plans to establish an international operations center for the e-CNY (digital yuan) in Shanghai. This initiative comes amid increased interest in a global yuan, as international trade tensions, particularly those driven by US tariff policies, lead investors to seek alternatives to dollar-based investments.

The dealer noted, however, that further gains in the rubber market were limited by weaker US economic data, declines in crude oil prices, and rising geopolitical tensions. At the time of writing, Brent crude oil prices had decreased by 0.82 percent to US$75.82 per barrel.

At 3 pm, the Malaysian Rubber Board reported that the price of Standard Malaysian Rubber 20 (SMR 20) increased by 10.5 sen to 715.50 sen per kilogram, while latex in bulk rose by 2.5 sen to 587.00 sen per kilogram.