CPO Futures Strengthen On Higher Crude Oil Prices
By Muhammad Fawwaz Thaqif Nor Afandi
KUALA LUMPUR, July 13 (Bernama) – Crude palm oil (CPO) futures on Bursa Malaysia Derivatives closed higher on Monday, tracking gains in the crude oil market.
Iceberg X Sdn Bhd proprietary trader David Ng said crude oil prices jumped as renewed US-Iran military strikes disrupted oil flows through the Strait of Hormuz.
At the time of writing, Brent crude was up by 3.8 per cent to US$78.90 per barrel.
“Higher crude oil prices boosted palm oil prices due to stronger demand prospects for its use as a biofuel feedstock. Sentiment was also supported by higher Chicago Board of Trade (CBOT) soybean oil prices,” he told Bernama.
However, Ng added that recent strong palm oil production growth was capping price gains.
“We see support at RM4,500 and resistance at RM4,650,” he said.
At the close, the spot-month July and August 2026 contracts increased RM17 each to RM4,472 and RM4,493 per tonne, respectively, while the September 2026 contract rose RM20 to RM4,533 per tonne.
The October and November 2026 contracts added RM19 to RM4,566 and RM4,601 per tonne, respectively, while the December 2026 contract gained RM21 to RM4,633 per tonne.
The trading volume declined to 54,241 lots from 113,131 lots on Friday, while open interest fell to 283,758 contracts from 286,062 contracts previously.
The physical CPO price for July South inched down RM10 to RM4,480 per tonne.
-- BERNAMA