News

KUALA LUMPUR : Gold futures on Bursa Malaysia Derivatives are expected to remain volatile next week, as cautious sentiment continues to dominate amid persistent global uncertainties and a weakening bullish trend in safe-haven assets. In its weekly outlook, RHB Investment Bank Bhd highlighted that traders are likely to maintain a defensive approach, with the recent momentum in gold showing signs of softening. “We maintain a negative trading bias as downward pressure continues to mount,” the bank noted in its report. RHB projected immediate support for gold prices at US$3,200 per troy ounce, while resistance is expected around the US$3,400 level. On a week-on-week basis, the spot month May 2025 contract declined to US$3,274.10 per troy ounce from US$3,316.20 previously. Other active contracts, including June, July, August and October 2025, also recorded losses, settling at US$3,288.10 per troy ounce compared to US$3,332.80 the week before. Trading activity also softened, with total volume contracting to 352 lots from 871 lots in the previous week. Open interest fell to 40 contracts from 88, indicating a more reserved stance among market participants. According to the London Bullion Market Association’s afternoon fix on 1 May, physical gold was valued at US$3,214.75 per troy ounce. –Bernama

KUALA LUMPUR : The Malaysian rubber market is poised for a modest rebound next week, supported by renewed optimism stemming from potential economic stimulus measures by China, according to the Malaysian Rubber Glove Manufacturers Association (MARGMA).   The Association of Natural Rubber Producing Countries (ANRPC) has forecast a 1.5% increase in global natural rubber (NR) consumption in 2025, reaching approximately 15.6 million tonnes, contributing to the improved market outlook. “A tight supply outlook in key producing countries is likely to provide additional price support,” a MARGMA spokesperson told Bernama. However, the association cautioned that the lack of progress in US-China trade negotiations continues to cast a shadow over global sentiment. “Rubber prices are expected to remain closely aligned with movements in regional rubber futures markets, alongside fluctuations in the ringgit against the US dollar and global crude oil prices,” the spokesperson added. Industry veteran Denis Low noted that ongoing geopolitical uncertainties, particularly those stemming from policies under former US President Donald Trump’s administration, have contributed to volatility in the market. “We are navigating an increasingly fluid and complex global economic landscape. Businesses must continue to remain agile in response to the evolving challenges shaped by international policy shifts,” he said. On a weekly basis, the Malaysian Rubber Board reported that the reference price for Standard Malaysian Rubber 20 (SMR 20) declined by 14.5 sen to 738.0 sen per kilogramme (kg), while latex in bulk dropped 16.5 sen to 609.0 sen per kg. –Bernama

KUALA LUMPUR : The crude palm oil (CPO) futures market is likely to maintain a downward bias next week, weighed by expectations of rising domestic stock levels and subdued export demand. According to palm oil trader David Ng, local inventories are anticipated to climb as Malaysia enters its peak harvesting season, a period typically associated with increased production. “Export demand remains soft, especially from major markets like India and China, which are approaching purchases cautiously due to ample global vegetable oil supply and price competitiveness from alternatives such as soybean and sunflower oil,” he said. He added that sentiment in the market is currently cautious, with traders awaiting key export and production figures. “Unless there is a notable shift in demand or new policy developments from key importing nations, the market is expected to remain subdued in the near term,” he said, forecasting that prices may trend within the RM3,750 to RM3,900 per tonne range next week. For the week ended Friday, the spot month May 2025 contract dropped RM219 to RM3,920 per tonne, while June 2025 declined RM150 to RM3,907 and July 2025 eased RM176 to RM3,881. August 2025 was down RM164 at RM3,883, September 2025 declined RM151 to RM3,888, and October 2025 settled RM138 lower at RM3,891. Weekly trading volume contracted to 240,534 lots from 410,686 the previous week, while open interest dipped to 232,901 contracts from 239,139. The physical CPO price for May South fell RM180 to RM4,020 per tonne. –Bernama