Rubber glove counters rally on expectations of firmer selling prices


KUALA LUMPUR: Rubber glove counters dominated active trading in the morning session, with their share prices rallying amid rising crude oil prices.

According to reports, the rubber glove counters also gained on expectations of firmer selling prices and improving margins following price increases by a major Chinese producer.

Recent earnings improvements also reinforced optimism over the sector’s recovery.

However, global glove oversupply remains a concern, and the sustainability of the rally would depend heavily on whether higher average selling prices translate into sustained margin expansion.

Meanwhile, sentiment was also supported by recent news of the government strengthening regulations governing rubber glove manufacturing and exports to address industry overcapacity while enhancing the traceability of Malaysian-made gloves.

Plantation and Commodities Minister Datuk Seri Noraini Ahmad said the measures, implemented through the Malaysian Rubber Board (MRB), would help promote sustainable and disciplined growth.

At 10.05 am, rubber glove counters were among the active stocks, with Top Glove gaining 3.5 sen to 80 sen with 91.88 million shares traded, Supermax added half a sen to 43.5 sen with 34.07 million shares traded and Hartalega advanced five sen to RM1.16 with 19.65 million shares traded. - Bernama

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rubber , glove , latex , manufacturing , equity

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