KL rubber prices fall on competition

KL rubber prices fall on competition

KUALA LUMPUR (Reuter): Malaysian rubber prices fell at the
close as market adjusted to competition from Indonesia, traders
said.

At the close, the Malaysian Rubber Exchange and Licensing
Board quoted April RSS1 buyer at 296.50 cents ($1.20) a kg, down
one cent from Tuesday. April SMR20 buyer was also a cent lower at
283.50.

Traders quoted the SMR 20 at 284/285 cents a kg, SMR CV at
351, SMR L at 331, SMR 10 at 286 and drum latex FOB at 235.

Traders noted some short-covering but said prices were down
because producers were adjusting to competition from Indonesia.

"Our rubber is still expensive if compared to Indonesia," said
a trader.

Business for the day included 500 tons of SMR20 for Iran at
282 cents a kg for end April delivery and 350 tons of latex for
Korea at 218 cents a kg for end April/early May delivery.

The INRO five-day moving indicator was quoted at 228.01
Malaysian/Singaporean cents per kg on April 1, down from the
228.34 on March 31. The daily indicator was also lower at 227.20
cents against 227.96 previously.