KL Rubber Market Slumps on Weaker Crude Oil Prices

The Kuala Lumpur rubber market closed lower on July 2 due to weaker crude oil prices and regional futures. The Brent crude oil price fell by 1.13% to $70.76 per barrel, a decline that is attributed to easing risks to West Asian crude supplies.

Japanese rubber futures also declined as the outlook for China's auto sales deteriorated, leading to reduced demand prospects. However, this was partly offset by resilient US vehicle sales and stronger demand for hybrid and electric vehicles.

The price of Standard Malaysian Rubber 20 (SMR 20) decreased by 5.5 sen to 860.50 sen per kilogramme, while latex-in-bulk fell by four sen to 746 sen per kg.