Thai rubber prices are likely to dip further in the next few days on increasing supply and with few overseas buyers on the horizon, traders said on Wednesday.
Thai RSS3 rubber sheet was offered on Wednesday at $1.33/kg FOB, down from last week's $1.36/kg FOB for June shipment.
Traders said the Thai market had been quiet this week. "Many overseas buyers have bought Indonesian block rubber because its price is relatively cheaper than Thai rubber," said one trader.
"They can afford to sell cheaper because of their weak currency." The rupiah was quoted at 8,953/8,960 against the dollar, versus on Tuesday's 9,010/9,025 per dollar, it's lowest level since March 2003.
Indonesia's block rubber was being offered at $1.21/kg FOB on Wednesday, versus last week's $1.23/kg. Malaysia's SMR20 block rubber was offered steady at $1.26/kg. Thai STR20 block rubber was steady at $1.26/kg FOB.