Shanghai rubber has risen sharply and prices have fluctuated repeatedly

On the supply side, at present, the fundamentals of the natural rubber market are shifting to tightening supply and demand, coupled with recent weather conditions, such as floods in India, secondary or even tertiary leaf litter in Indonesia, coupled with the increase in rubber tapping opportunities in Indonesia, resulting in reduced enthusiasm for rubber tapping, as well as recent rainfall in Vietnamese production areas and domestic Yunnan production areas, all of which also make production expected
to shrink.

On the demand side, recently, the supply of No.
9710 rubber exclusively for tires on the market is very sought-after, and despite the requirements of environmental protection and production restrictions in Shandong, it has not led to a significant reduction
in the operating rate of related enterprises.
Therefore, the tightening of supply and demand fundamentals has given Shanghai rubber futures prices a certain upward momentum
.

For the future market, although today's Shanghai rubber futures price rose sharply, it does not mean that the futures price will enter a long-term rising channel, one of the biggest reasons is that the 1811 contract will continue to face huge warehouse receipt suppression, and the price will eventually usher in a return
.

It is expected that the price will fluctuate repeatedly before the Shanghai rubber futures 1811 contract is delisted, but if the price really wants to take off, it will need to wait for the
1811 contract to be delisted.
In terms of operation, investors are advised to participate
cautiously in the short term.