[Natural Rubber]: Rubber Weekly Review (October 10)

Figure 1: Shandong market price of STR20 MIX Figure 2: Zhejiang market price of ordinary bulk imported from Thailand

dry rubber

This week, the main rubber contract showed a downward trend. After the holiday, the main rubber contract basically remained at a relatively high level. The rainfall weather on the rubber supply side improved, and the overall output situation improved slightly. However, rainy weather still existed in some areas, and raw material prices remained in the short term. Maintain at a relatively high level; On the demand side, maintenance companies have gradually recovered during the National Day holiday, which supports an improvement in operating rates to a certain extent. Gold September and Silver Ten remain, and terminal demand is expected to show a wave of improvement in October. After the holiday, the market price adjustment will be more chaotic, and the industry has a strong wait-and-see attitude. However, the fundamentals are still worthy of attention. The high rubber support is slightly weak, so beware of falling back.

natural latex

This week, the offer price on the natural latex spot market in China fell. Traders were relatively positive in making offers. The futures market fluctuated downward, and bearish sentiment on the market increased. The offer prices of upstream processing plants at home and abroad were generally lowered, and cost support continued to weaken. Spot offers from traders in the sales area mainly followed the decline. Downstream product companies entered the market cautiously and made inquiries, and most of them negotiated price reductions. Under the mentality of "no buy down", purchases were only needed.

Market outlook forecast:

1. The seasonal growth in raw material output in foreign production areas is expected to be obvious, and rainfall should continue to be paid attention to;

2. It is expected that the operating rate of tire sample companies will improve next week;

3. The inventory in Qingdao, China continues to be removed from the warehouse;

4. Exchange rate, Federal Reserve interest rate cuts, etc.