KUALA LUMPUR (Bernama) — The crude palm oil (CPO) futures contract on Bursa Malaysia Derivatives closed at an all-time high today as concerns over weak production continued to lift sentiment.
The benchmark palm oil contract – December 2021 – jumped RM140 to RM4,595 a tonne.
Palm oil trader David Ng said the expectation of stronger exports in the coming weeks also added to the positive sentiment.
“We see support at RM4,480 a tonne and resistance at RM4,600 a tonne,” he told Bernama.
Today’s rise was also supported by stronger soybean oil on China’s Dalian Commodity Exchange and the US Chicago Board of Trade.
According to independent inspection company AmSpec Agri Malaysia, exports of Malaysian palm oil products for September rose 33.55 per cent to 1,628,168 tonnes from 1,219,166 tonnes shipped during August.
At the close, the CPO futures contract for October 2021 advanced by RM123 to RM4,833 a tonne, November 2021 gained RM143 to RM4,707 a tonne, January 2022 rose RM147 to RM4,501 a tonne, February 2022 improved RM156 to RM4,409 a tonne, and March 2022 lifted RM157 to RM4,302 a tonne.
Total volume increased to 61,707 lots from Wednesday’s 43,960 lots, while open interest widened to 247,906 contracts from 233,315 contracts previously.
The physical CPO price for October South was RM90 higher at RM4,830 a tonne.