Malaysia’s palm oil stocks hit six-month high as output surges

Malaysia’s stocks of palm oil jumped in August to their highest in six months, as monthly production reached a nine-year high amid a slowdown in exports, the industry regulator said on Tuesday. The rise in stocks in Malaysia, the world’s second-largest producer of palm oil after neighbouring Indonesia, could weigh on benchmark futures already hovering near their lowest in seven months. Malaysia’s palm oil stocks at the end of August rose 7.34% from the previous month to 1.88 million metric tons MYPOMS-TPO, the highest level since February, the Malaysian Palm Oil Board (MPOB) said. Crude palm oil production gained 2.87% in August from July to 1.89 million tons, the highest since October, data from the industry regulator showed on Tuesday. Production for the month was the highest since 2015. Palm oil exports in the month fell 9.74% to 1.53 million tons, the MPOB said. A Reuters survey had forecast inventories at 1.86 million tons, with output seen at 1.89 million tons and exports at ...