CPO futures slips further, tracking losses in rival edible oils in Malaysia

KUALA LUMPUR (March 23): The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives slipped further on Thursday, tracking the losses in rival edible oils as well as the crude oil prices, a trader said. Palm oil trader David Ng said CPO plunged below RM3,700 since October last year given the weakness in the Chicago Board of Trade (CBOT) soybean oil futures market, which was down by 1% during Asian trading hours after Wednesday’s sell-off. He said oil prices also dipped on Thursday, tracking weak economic signals from the Federal Reserve and the expectation that the Organisation of Petroleum Exporting Countries and allies (OPEC+) would likely keep output unchanged next month despite a recent price crash. “Weaker crude oil prices will depress CPO prices as palm oil is being used for biofuel,” he told Bernama. He said the market also expected export performance to taper off with global sentiment turning bearish dampened by sentiment brought about by the US banking crisis, ...