Rubber futures bottomed out and rebounded, and there is limited room for another decline

Fundamentals, supply side, in May, ANRPC production totaled 834,200 tons, a year-on-year increase of 8.
24%.

On the demand side, as of the week of June 24, the operating rate of all-steel tires was 64.
13%, 7.
21 percentage points from last week; the operating rate of semi-steel tires was 58.
95%, 6.
20 percentage points
from last week.

Infections caused by the highly infectious "Delta variant" have further expanded, with Malaysia extending urban lockdowns in addition to Indonesia, and Thailand announcing its latest policy to suppress the expansion of
the epidemic.
Rubber prices fell
overall, including in Shanghai and Singapore, amid concerns that countries could further restrict economic activity.
The main contract of Shanghai rubber fell below the integer level of 13,000 yuan and oscillated slightly around 12,800 yuan, and the trend between the Shanghai-Tokyo market began to gradually diverge
.

In terms of inventory, the Osaka Stock Exchange announced that Japan's national natural rubber commercial inventory continued to decline to about 8,500 tons as of June 20, and the monthly discount of the near and far months further shrank, watching the changes
in the overall atmosphere of the external market in the future.

Looking forward to the future market, from the absolute price of natural rubber, the current price has fallen to the bottom range before the impact of the epidemic, and after the continuous release of bearishness, natural rubber has limited room for another decline
.
However, subject to weak fundamentals, the upward drive is also insufficient, and the low oscillation trend may not improve
.