Business Times
Wednesday – April 29, 2009
CPO FUTURES
Crude palm oil futures prices on Bursa Malaysia Derivatives closed lower yesterday on continuing fears that the current swine flu epidemic will reduce demand for grains and meat, dealers said.
Vegetable oil prices have a tendency to move in tandem with grains prices.
“However, palm oil prices will likely rebound in the near future as demand has remained steady for palm oil amid reducing stocks,” a dealer said.
Positive export figures, he said, will also boost prices by the end of the week or next week.
Cargo surveyor, Intertek Testing Services reported that Malaysian exports of palm oil products for April 1-25 rose seven per cent to 973,825 tonnes from 908,404 tonnes for the period of March 1-25.
“Prices will likely move within RM2,400 and RM2,550 per tonne this week,” a dealer said.
May 2009 declined RM6 to RM2,650 per tonne, June 2009 was down RM6 to RM2,554 per tonne, July 2009 reduced RM25 to RM2,456 per tonne and August 2009 lost RM25 to RM2,393 per tonne.
Turnover was lower at 16,596 lots from 20,253 lots on Monday while open interests was lower at 85,628 contracts from 85,708 contracts on Monday.
As for the physical market, May South fell to RM2,670 per tonne from RM2,690 per tonne on Monday.
