Demand performance was weak years ago, and rubber prices were weak and volatile

China will usher in a complete shutdown, due to the small output of raw materials, domestic raw material prices remain stable, Thailand last week after the rainfall in the production area continued to fall slightly, but the overall fluctuation of raw materials is small
.
Dragged down by the weak consumption of finished products, the price of cup rubber in Thailand continued to fall
slightly.
At present, Thailand is still under the peak season of rubber tapping, with the reduction of rain, the price of glue may fall again, but next week there is still rain interference, rubber cost support is still strong
.
The profit margin of upstream processing is at a low level, or it limits the output
of late standard glue.

Spot prices fell slightly last week, and overall still showed a weak pattern
.
Approaching the Spring Festival holiday, downstream demand was light, and RU basis and NR basis weakened
slightly.
NR imports are still profitable, indicating that domestic prices are relatively high overseas, and overseas supply pressure may gradually be reflected in China
in the later period.
Last week, the mixed rubber continued to fall slightly, but the RU non-standard spread did not narrow, or brought about the pressure of arbitrage in the later stage
.
The spread between whole milk and 3L is widening and at a high level, and from the perspective of demand replacement, the price
of full latex is suppressed.

Downstream demand has further weakened as the domestic Spring Festival holiday approaches, and the downstream tire operating rate continued to fall last week, and is expected to further suppress
the factory operating rate as workers return home next week.
Among them, the operating rate of all-steel tires is more sluggish or mainly affected
by the short-term suppression of domestic demand.
In November, the pressure on finished product inventory of domestic tire factories continued unabated, and the demand
for raw materials was still suppressed in the short term.

Rubber still shows a weak pattern of supply and demand in the short term
.
China will enter a complete shutdown next week, and the increase in RU warehouse receipts will be relatively limited, and the year-on-year low warehouse receipts have strong support
for the RU disk.
Thailand will also enter a break after January, and the increase in supply will gradually moderate
.
Domestic downstream demand is in the off-season superimposed on the approaching holiday, and demand may be sluggish in the short term
.
Due to the high inventory of finished products, downstream tire factories are expected to be difficult to increase the demand for raw material procurement, and the overall domestic demand side shows an off-season pattern
.
Under the weak pattern of supply and demand, rubber prices are expected to continue to fluctuate
.

In the short term, the supply side is close to the cutting period in China, the supply pressure is weakened, and the import pressure of tianjiao still exists
in the foreign peak production season.
On the demand side, the operating rate of all-steel and semi-steel tires continued to decline, combined with the New Year's Day holiday and the Spring Festival holiday shutdown, and the demand performance was weak
a few years ago.
Concerned about speculation within the year and the restart of construction after the year, it is expected that Tianjiao will be weak and volatile
.