JAKARTA: Malaysian palm oil futures closed lower on Tuesday after data from the industry regulator showed a drop in Malaysian stockpiles, production and exports.
The benchmark palm oil contract for February delivery on the Bursa Malaysia Derivatives Exchange lost 165 ringgit, or 3.22%, to 4,955 ringgit ($1,119.52) a metric ton at the close.
Malaysia’s palm oil stockpiles dropped for a second consecutive month in November, falling 2.6% from the prior month to 1.84 million tons, data from the Malaysian Palm Oil Board (MPOB) showed on Tuesday.
The drop in inventories could fuel the rally in benchmark futures.
Crude palm oil production declined 9.8% to its lowest level for the month in four years to 1.62 million tons, while palm oil exports plunged 14.7% to 1.49 million tons.
“The MPOB end-stocks and exports data concurred with most analysts’ finding, thus no surprises in the numbers,” said Paramalingam Supramaniam, director at Selangor-based brokerage Pelindung Bestari.
Palm oil futures lower, tracking rival vegetable oils
“Going forward, the focus will be production patterns in December and first quarter of 2025, and the impact of recent floods and rains have on the output.”
A flood struck Malaysia after heavy rains in late November, and the country’s meteorological department forecast a monsoon surge, which could bring continuous rainfall to the east coast of Peninsular Malaysia and parts of Sabah and Sarawak on Borneo Island.
Sabah and Sarawak are among the top palm oil producing regions of Malaysia.
Dalian’s palm oil contract fell 2.25%, while its most active soyoil contract inched higher 0.03%. The Chicago Board of Trade’s soyoil contract fell 1.61%.
Palm oil tracks price movements of rival edible oils as it competes for a share of the global vegetable oils market.
Cargo surveyor Intertek Testing Services said on Tuesday that exports of Malaysian palm oil products for December 1-10 rose 3.9%, while according to independent inspection company AmSpec Agri Malaysia it rose 1.1%.
JAKARTA: Malaysian palm oil futures closed lower on Tuesday after data from the industry regulator showed a drop in Malaysian stockpiles, production and exports.
The benchmark palm oil contract for February delivery on the Bursa Malaysia Derivatives Exchange lost 165 ringgit, or 3.22%, to 4,955 ringgit ($1,119.52) a metric ton at the close.
Malaysia’s palm oil stockpiles dropped for a second consecutive month in November, falling 2.6% from the prior month to 1.84 million tons, data from the Malaysian Palm Oil Board (MPOB) showed on Tuesday.
The drop in inventories could fuel the rally in benchmark futures.
Crude palm oil production declined 9.8% to its lowest level for the month in four years to 1.62 million tons, while palm oil exports plunged 14.7% to 1.49 million tons.
“The MPOB end-stocks and exports data concurred with most analysts’ finding, thus no surprises in the numbers,” said Paramalingam Supramaniam, director at Selangor-based brokerage Pelindung Bestari.
Palm oil futures lower, tracking rival vegetable oils
“Going forward, the focus will be production patterns in December and first quarter of 2025, and the impact of recent floods and rains have on the output.”
A flood struck Malaysia after heavy rains in late November, and the country’s meteorological department forecast a monsoon surge, which could bring continuous rainfall to the east coast of Peninsular Malaysia and parts of Sabah and Sarawak on Borneo Island.
Sabah and Sarawak are among the top palm oil producing regions of Malaysia.
Dalian’s palm oil contract fell 2.25%, while its most active soyoil contract inched higher 0.03%. The Chicago Board of Trade’s soyoil contract fell 1.61%.
Palm oil tracks price movements of rival edible oils as it competes for a share of the global vegetable oils market.
Cargo surveyor Intertek Testing Services said on Tuesday that exports of Malaysian palm oil products for December 1-10 rose 3.9%, while according to independent inspection company AmSpec Agri Malaysia it rose 1.1%.
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