Malaysia: CPO futures end lower on weakness in CBOT soybean oil

Published 2023년 3월 10일

Tridge summary

The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives closed with a decrease on Friday, mirroring the decline in soybean oil futures on the Chicago Board of Trade (CBOT). Despite strong March export numbers and a larger production loss in February, palm oil was pushed to trade lower to maintain its discount against competitors. The Malaysian Palm Oil Board reported a 6.56% decrease in the country’s total palm oil stocks in February. Buying activities from export destinations like China, Pakistan, Bangladesh, the United States, the Middle East, and Africa were subdued, and there are concerns about potential weaker demand in the future.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

KUALA LUMPUR (March 10): The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives closed mostly lower on Friday, tracking the weakness in the soybean oil futures on the Chicago Board of Trade (CBOT). Mumbai-based Sunvin Group commodity research head Anilkumar Bagani said that palm oil was forced to trade lower to keep its discount against the competition despite strong March export numbers and a bigger production loss during February. In a statement earlier Friday, the Malaysian Palm Oil Board (MPOB) said the country’s total palm oil stocks dropped by 6.56% to 2.11 million tonnes in February 2023 from 2.26 million tonnes in the preceding month. Anilkumar told Bernama that buying activities from the export destinations front, such as China, Pakistan, Bangladesh, the United States, the Middle East and Africa, were mostly quiet. Meanwhile, palm oil trader David Ng said that there was concern over weaker demand going forward. “We locate support at RM4,050 and resistance ...

Source: Theedgemarkets