Shrinking stocks to lift rubber prices

Malaysian rubber prices are expected to remain stronger on falling stocks and lower production.

Investors are also optimistic about the commodity's price as demand for oil-based synthetic rubber would be affected due to the higher crude oil price which is above US$70 per barrel range.

Japanese stocks rose as an unexpected drop in the U.S. unemployment rate and a more-than- estimated gain in Japan’s machinery orders adding to evidence the global economy is recovering. The U.S. is the world’s engine of consumer spending and investors see the improvement in its labor market as a chance to buy Japanese shares, which are sensitive to the global economic cycle.

Indonesia’s economy probably grew at close to the fastest pace in Southeast Asia as higher commodity prices boosted rural incomes and a strife-free presidential election buoyed consumer spending and investment.