Commodities Roundup: CPO futures firmer
Business Times
Friday - July 04, 2008
CPO FUTURES
Crude palm oil (CPO) futures prices on Bursa Malaysia Derivatives closed higher yesterday, as it continued tracking the strong crude oil price which soared to a new record of US$146 per barrel, a dealer said.
According to the dealer, the local futures market which stumbled during the midday session, returned to its strong position after receiving a boost from stronger external factors.
The benchmark September contract closed higher by RM19 at RM3,635 per tonne compared to Wednesday’s closing of RM3,616 per tonne.
The dealer also said that local market took the cue from the stronger Chicago Board of Trade (CBOT).
“Our CPO prices discount more than US$300 per tonne compared to soyoil.
This situation continued to attract more foreign players into the market,” he added.
The dealer said he expected CPO to be traded above RM3,700 per tonne today.
Meanwhile, for the other trade months, July 2008 added RM25 to settle at RM3,570 a tonne and August 2008 increased RM18 to RM3,623 while October 2008 rose by RM35 to RM3,621 per tonne.
Volume rose to 8,439 lots from 6,805 lots on Wednesday while open interest dropped to 43,705 contracts from 44,339 contracts.
On the physical market, July South was unchanged Wednesday’s RM3,650 per tonne.
