CPO Futures Rise Above RM4,500 A Tonne On Supply Concerns, Pre-Ramadan Demand

By Siti Noor Afera Abu

KUALA LUMPUR, Feb 7 (Bernama) -- The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives closed higher on Friday, with the April 2025 benchmark contract surpassing RM4,500 per tonne, driven by concerns over weak output and anticipated demand ahead of Ramadan.

Palm oil trader David Ng noted that firmer soybean oil prices also boosted CPO prices.

“We expect the CPO price to find support at RM4,400 and resistance at RM4,650,” he told Bernama.

Mumbai-based Sunvin Group commodity research head Anilkumar Bagani said the strength in related markets supported palm oil prices, amid weather-related disruptions affecting production and transportation in Malaysia and parts of Indonesia.

Additionally, market speculation is growing that Indonesia may raise export levies for CPO to 10 per cent or higher from the current 7.5 per cent, although no official confirmation has been made.

At the close, the February 2025 contract soared RM103 to RM4,781 per tonne, March 2025 jumped RM93 to RM4,601 per tonne, and April 2025 climbed RM101 to RM4,504 per tonne.

May 2025 surged RM95 to RM4,409 per tonne, June 2025 increased RM89 to RM4,320 per tonne, and July 2025 put on RM82 to RM4,261 per tonne.

Trading volume leapt to 100,050 lots from 80,473 lots on Thursday, while open interest widened to 227,401 contracts from 223,563 previously.

The physical CPO price for February South increased by RM90 to RM4,820 per tonne. 

-- BERNAMA