CPO Futures Snap Three-day Losing Streak To End Higher
By Durratul Ain Ahmad Fuad
KUALA LUMPUR, Oct 11 (Bernama) -- Crude palm oil (CPO) futures on Bursa Malaysia Derivatives snapped a three-day losing streak to end higher on Friday as concerns over stronger exports in the coming weeks supported near-term sentiment, a trader said.
Palm oil trader David Ng said expectation of weaker production in the coming weeks also helped to lift prices.
“Expectation of stronger exports and weaker production in the coming weeks is likely to result in overall lower stocks in the country, which is positive for prices.
“We see support at RM4,230 (per tonne) and resistance at RM4,450,” he told Bernama.
Yesterday, the Malaysian Palm Oil Board revealed that palm oil exports edged up 0.93 per cent to 1.54 million tonnes in September 2024 from 1.53 million tonnes in August 2024, while total palm oil stocks climbed 6.93 per cent to 2.01 million tonnes from 1.88 million tonnes previously.
However, CPO production dropped 3.8 per cent, or 71,926 tonnes, to 1.82 million tonnes in September 2024 from 1.89 million tonnes in the preceding month.
At the close today, the spot month October 2024 contract decreased RM67 to RM4,283 per tonne, but November 2024 rose RM116 to RM4,385, December 2024 went up RM117 to RM4,350, January 2025 increased RM119 to RM4,315, February 2025 advanced RM111 to RM4,278, and March 2025 improved RM101 to RM4,240.
Trading volume declined to 99,963 lots from 108,838 yesterday, while open interest expanded to 252,079 contracts from 251,551 previously.
The physical CPO price for October South added RM80 to RM4,480 per tonne.
-- BERNAMA