Rubber Futures Hold in Tight Range

Rubber futures held around 238 US cents per kilogram in late September, moving within a tight range after retreating from a 13-year high reached earlier this month. Immediate supply risks eased somewhat as rainfall in parts of Thailand was expected to improve, potentially supporting rubber tapping, although El Niño-related dryness remains a concern across much of Southeast Asia. Meanwhile, softer demand from China, the world's largest rubber consumer, also weighed on prices as weaker tire production and operating rates reduced raw-rubber purchases. Some manufacturers also plan holiday closures ahead of China's National Day and Mid-Autumn Festival, which could further reduce near-term rubber demand. Offering some support, crude oil prices rose after a four-day decline, making synthetic rubber more expensive and improving the relative appeal of natural rubber.