CPO Futures Close Higher On Stronger Edible Oils, Demand Prospects
By Abdul Hamid A Rahman
KUALA LUMPUR, Aug 17 (Bernama) -- Crude palm oil (CPO) futures on Bursa Malaysia Derivatives ended higher on Monday, supported by firmer prices of other vegetable oils and improving demand prospects.
Iceberg X Sdn Bhd proprietary trader David Ng said gains in edible oils on the Dalian Commodity Exchange provided a fillip to the local market, while stronger demand prospects from India also boosted sentiment.
“Demand prospects improved following stronger edible oil imports, mainly by India, as refiners replenished inventories ahead of the festive season, including Deepavali in November,” he told Bernama.
Mumbai-based Solvent Extractors' Association of India (SEA) reported that India’s palm oil imports surged 50 per cent month-on-month to 730,965 tonnes in July, the highest in five months, while total edible oil imports climbed to a 10-month high totalling 1.48 million tonnes.
Ng added that concerns over a strengthening El Niño weather pattern also supported market sentiment amid expectations that hotter and drier conditions could reduce palm oil production in the longer term.
At the close, the September 2026 contract rose RM13 to RM4,589 per tonne, October 2026 gained RM7 to RM4,717 per tonne, and November 2026 added RM14 to RM4,821 per tonne.
The December 2026 contract advanced RM24 to RM4,903 per tonne, January 2027 climbed RM34 to RM4,970 per tonne, and February 2027 increased RM43 to RM5,017 per tonne.
Trading volume grew to 129,862 lots from 109,995 lots last Friday, while open interest widened to 328,798 contracts from 327,575 contracts previously.
The physical CPO price for August South increased by RM70 to RM4,590 per tonne.
-- BERNAMA