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Natural rubber faces increased pressure, with short-term volatility staying weak and adjusting downward.

K-LinePoet
Seasonal supply increases from major producing regions both at home and abroad are still pressuring sentiment toward raw material procurement prices, but in some producing areas there may again be short-term, phase-based rainfall disruptions. As a result, there is limited room for raw material prices to fall further. Qingdao port spot inventories are being drawn down slowly; market trading looks somewhat lackluster, making it difficult to sustain a boost to rubber prices. Clear expectations of increased output in Southeast Asia, together with weak tire operating/production activity downstream, mean that supply-demand fundamentals continue to be dominated by a bearish logic. Although weather disturbances are currently providing some support to the market, overall the pressure on the price chart trend remains, and in some areas downward pressure has begun to be clearly evident. (Natural Rubber Network)
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