CPO Futures Expected To Turn Bearish Next Week On Profit-taking

By Muhammad Fawwaz Thaqif Nor Afandi

KUALA LUMPUR, Oct 10 (Bernama) -- Crude palm oil (CPO) futures on Bursa Malaysia Derivatives are expected to turn bearish next week due to profit-taking activities.

Interband Group of Companies senior palm oil trader Jim Teh said the bearish prices could help reduce Malaysia’s high palm oil stock levels ahead of the Malaysian Palm Oil Board’s (MPOB) September data release on Monday (Oct 12).

“The trading range will be between RM4,200 to RM4,300 per tonne. This, in a way, will help to clear out some of our high stock positions,” he said.

On physical demand, Teh said buyers were expected to come from China, India, Pakistan, West Asia, the European Union and the United States.

Meanwhile, Iceberg X proprietary trader David Ng said market sentiment for next week would be cautious as investors assessed the upcoming MPOB report, particularly on inventories and export performance.

“We expect prices to trade between RM4,500 and RM4,750 per tonne next week,” he said.

On a Friday-to-Friday basis, the October 2026 contract edged up RM8 to RM4,362 per tonne, the November 2026 contract rose RM24 to RM4,465 per tonne, and the December 2026 contract increased RM57 to RM4,592 per tonne.

The January 2027 contract strengthened RM82 to RM4,709 per tonne, the February 2027 contract climbed RM101 to RM4,810 per tonne, and the March 2027 contract added RM116 to RM4,902 per tonne.

Weekly trading volume fell to 556,937 lots from 609,973 lots in the preceding week, while open interest improved to 337,867 contracts from 334,658 contracts previously.

The physical CPO price for October South gained RM50 to RM4,450 per tonne.

-- BERNAMA