London – Natural rubber (NR) prices have shown signs of improvement over the recent weeks, on the back of supply concerns as well as the rising crude oil prices and a weak US dollar.
All Far East markets monitored by ERJ over the two weeks to 7 May posted growth, following a steady decline over the months of March and April.
The most-active rubber contract for September delivery in Shanghai rose 2% during the two-week period, while RSS3 futures tracked a positive trajectory with a 7% increase.
The gains are linked to short-term effects of supply constraints, due mainly to the month-long Ramadan period (ended 12 May).
In addition, the fungal leaf diseases across Indonesia, Thailand, and Malaysia, have impacted supply, the Association of Natural Rubber Producing Countries reported 7 May.
Shanghai SHFE ru2109: Yuan14,105/tonne (23 April) to Yuan14,445/tonne (7 May) up 2.0%
Osaka RSS3 nearby month: Yen237.1/kg to Yen255.5/kg – up 7.0%
Singapore SGX TSR20: $167.30/100kg to $173.3/100kg – up 3.5%
Kottayam RSS4: $217.60/100kg to $229.15/100kg– up 5.3%
Kuala Lumpur SMR20: $166.65/100kg to $176.20/100kg– up 5.7%
Kuala Lumpur Latex: $149.98 /100kg to $159.01 – up 6.0%