CPO Futures Close Higher On Slow Rise In Stock Levels, Strong Export Data

By Rosemarie Khoo Mohd Sani

KUALA LUMPUR, Aug 11 (Bernama) -- The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives closed higher today, extending last week’s rally, supported by a slower-than-expected rise in stock levels and strong export performance, said palm oil trader David Ng.

He said CPO prices rose above RM4,300 per tonne today and were expected to remain supported at that level.

“We see CPO prices supported at RM4,300 per tonne, with resistance at RM4,450 per tonne,” he told Bernama.

According to the Malaysian Palm Oil Board’s (MPOB) Palm Oil Industry, July 2025 report, palm oil exports increased by 3.82 per cent month-on-month to 1.30 million tonnes in July from 1.26 million tonnes in June 2025.

CPO stockpile dropped 2.02 per cent to 1.02 million tonnes in July from 1.04 million tonnes in June, while total palm oil inventories rose by 4.02 per cent to 2.11 million tonnes from 2.03 million tonnes previously.

Fastmarkets Palm Oil Analytics senior analyst Dr Sathia Varqa said the July end-month stocks of 2.11 million tonnes were below market expectations of a 10-11 per cent increase to 2.23-2.25 million tonnes, despite still being at a 19-month high.

“This sentiment was supported by strong export data from cargo surveyors. Further bolstering market sentiment was a report that the Indonesian government plans to implement a B50 biodiesel mandate in 2026,” he said.

For the period Aug 1-10, Intertek Testing Services (ITS) reported exports of 482,576 tonnes, up 23.31 per cent from 391,355 tonnes in the same period last month.

Independent inspection company Amspec Agri Malaysia recorded a similar trend, with shipments rising 23.67 per cent to 453,230 tonnes from 366,482 tonnes previously.

At the close, the spot-month August 2025 and September 2025 contracts soared RM120 each to RM4,334 per tonne and RM4,354 per tonne, respectively, while October 2025 jumped RM129 to RM4,384.

The November 2025 note advanced RM130 to RM4,404 per tonne, December 2025 gained RM129 to RM4,413, and January 2026 grew RM122 to RM4,411.

Trading volume decreased to 83,281 lots from 91,640 last Friday, while open interest dropped to 227,408 contracts from 311,976 previously.

The physical CPO price for August South rose RM100 to RM4,350 per tonne.

-- BERNAMA