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Headwinds aside, is rubber gloves sentiment rising?


Cautious stance: Some fund managers remain uninterested in investing in rubber glove stocks at current prices.

Cautious stance: Some fund managers remain uninterested in investing in rubber glove stocks at current prices.

THE rubber glove sector is not an easy one to figure out for investors.

On the one hand, the headwinds the companies in the sector are facing continue to spook some investors.

Most rubber glove stocks continued to see some mild selling pressure this week, amid the sector’s spectacular run over the last two years.

However, most rubber gloves enjoyed some recovery yesterday, ending their downtrend. Top Glove for example had been suffering nine days of share price decline until yesterday when it rose by 10 sen or 2.13%.

Notwithstanding the recovery, rubber glove stocks have seen a few billion ringgit wiped out from from them in the first two weeks of this year.

Some local research houses have turned positive on the sector, reckoning that it has been oversold and that the headwinds are not as bad as they seem.

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Economy , Rubber